Sony said before the holidays last year they were about to break profit on that system, do you think they are making money on the PS3?
For the umpteenth time:
No, they're not making profit on hardware. Here is the transcript of their latest conference for investors:
http://seekingalpha.com/article/62529-sony-corp-f3q07-9qtr-end-12-31-07-earnings-call-transcript?page=-1
By the way, second half of fiscal year 08 means between October 2008 and March 2009.
My Mario Kart Wii friend code: 2707-1866-0957
hardware alone, i think so. but with all the extra costs like marketing, packaging and all those extra costs; not a chance. software royalties should be keeping it above water though, in my opinon. that's without ps2 and psp sales.
| NJ5 said: For the umpteenth time: Daniel Ernst - Hudson Square Research (...) And then, on the PS3, can you discuss where the cost down reduction is going? It took production cost at launch to where it is today. What has been the per-unit reduction you have been able to achieve? Nobuyuki Oneda - Executive Vice President and Chief Financial Officer (...) Dan, your second question, PS3 cost update, since the introduction the cost has drastically decreased. How much I cannot disclose it. However, we can expect that sometime in late fiscal year '08, the cost to be equal to the selling price. Currently, the cost is higher than the price, but toward the second half the fiscal year '08 we could catch up. By the way, second half of fiscal year 08 means between October 2008 and March 2009.
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Then they arent loosing much. PSP + PS2 sales should eclipse the losses, which should be minimal.
| NJ5 said: For the umpteenth time: Daniel Ernst - Hudson Square Research (...) And then, on the PS3, can you discuss where the cost down reduction is going? It took production cost at launch to where it is today. What has been the per-unit reduction you have been able to achieve? Nobuyuki Oneda - Executive Vice President and Chief Financial Officer (...) Dan, your second question, PS3 cost update, since the introduction the cost has drastically decreased. How much I cannot disclose it. However, we can expect that sometime in late fiscal year '08, the cost to be equal to the selling price. Currently, the cost is higher than the price, but toward the second half the fiscal year '08 we could catch up. By the way, second half of fiscal year 08 means between October 2008 and March 2009.
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see here is where your theory falls apart.... what if they also plan on dropping the price.
hm... think about that one.
Maybe they are, maybe there not. I don't really know, and I am pretty sure noone on this site knows for sure.
not yet.
| PooperScooper said: see here is where your theory falls apart.... what if they also plan on dropping the price. hm... think about that one. |
What theory? The question was if they are making profit on hardware, the answer is "no, they aren't". There's no theory here, and it's Sony who's giving the information.
My Mario Kart Wii friend code: 2707-1866-0957
I would expect they do a little better on the 80Gb, software BC emulation costs nothing to add and I woudn't think that these days a 80Gb HDD cost really much more than a 40Gb HDD, so the extra costs are just around the USB ports and such....
PS3-Xbox360 gap : 1.5 millions and going up in PS3 favor !
PS3-Wii gap : 20 millions and going down !
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