STUPID SONY, DON'T THEY KNOW THERE ARE 3 MILLION PS3'S SITTING AROUND

PS3 sells at a loss, as the billion dollar loss in 6 months shows, they lose more post-slim then they did the year before, the more Sony produce the bigger the loss they make. They have to curb production in order too keep the losses as "managable" as possible. Oh there's plent of 250GB ones because 1) It's less popular because of the higher price 2) Sony doesn't make as large a loss on those than the 120GB ones.

It's a balancing act.

PS3 below 200k in the weeks to come?

Absolute Primary School Bullshit. The more PS3s Sony produce - the more production costs are lowered as methods are made more affective. Also, the more PS3s sold - the more software is sold (software can make the PS3 profitable for Sony).

So really, the truth is the opposite of what you just said. 

If that's the case Sony should produce 10 million + PS3's every quarter, they'd have more than enough for 2010 and another 20m stockpiled for 2011 and still make money, they could essentially drop production for all of 2011 and make even more profits.

No dude no, there's no shortage of PS3's, there's a shortage of 120GB PS3's, the 250GB model is plentiful, the cheapest model costs Sony too much so it's supplies are curbed, same thing happened at launch with the $499 model, there were hardly any of them, they basically served as a $499 bullet point. Though the situation isn't as bad as back then (sub 100K sales in the US per month) it's obviously enough to keep stop Sony taking second this month and if they're playing up the shortage it will probably continue for a couple more months.

The lesson learned here is the price drop increased demand, but it also increased SCE's losses per unit, thus the unit that incurs the biggest loss is proportionately reduced in manufacturing throughput, which means supply can't meet demand. MS did the same thing with Xbox 1 in 2004.

You have no clue about business. Sony need to produce as many PS3 units as they can sell. If they made 10M PS3s every quarter, who would buy them all? Then sony would have to store all these excess PS3s - and storage costs money. Be serious please.

I guess they might be close to breaking even on the console, so they are holding off production until they start making money off the PS3

again, that would be counterproductive, especially long term. 

Uh, you're the one recommending Sony would make more money by selling more units of a product that they sell at a loss.

But you just said "The more PS3s Sony produce - the more production costs are lowered", why wouldn't they take advantage of that if it were true?

i agree but that would kind of kill the software buys .... i think they arent gonna have a extreme amounts of them laying around in the store until they find a way of making it profitable within the next couple of months.