Any Body Know how much a ps3 actually cost sony to produce?

Nobody knows for sure. If I were to guess, they are probably about breaking even on hardware costs now.

It's one of the cheapest and best Blu-Ray players around and offers so much more!

I think they still generate a significant loss on the hardware, you will have to take into account additional costs for support, marketing, retail profit share in the retail price, continued improvements of the OS, etc as well next to just the component and manufacturing costs.

Having said that I think Sony's gaming division will post a healthy profit this year. They earn back a lot of their investments through much improved PS3 software sales, still OK PS2 software and hardware sales as well as from PSP sales.

From a technological perspective you get a great deal at current PS3 pricing.

Break even most likely accounting just the hardware, but has MikeB said if you had marketing and workers etc its probably still a loss.

But with improved software sales on PS3 and PSP and extremely improved hardware sales for PS3 and PSP they will post a healthy profit this year.

I think right know its about 400

probably still selling at a loss even if we dont consider marketing and other expensses.

currently, ps3 is at $399 at retail. this would mean that sony's list price would be lower than 399.

of course, this also depends on the region. in the us, its probably selling at a loss, but in europe, its probably breakeven.

Remember about things like costs to do with delivering PS3's to retailers. In Australia the manufacturers pay these costs not the stores. I assume its the same elsewhere.

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Earlier this year, they said that the PS3 production costs had been halved (it was about $816 in 2006), so I would say around $400

Actually an analyst outside of Sony estimated that Sony had cut costs in half. Sony hasn't said a thing.

Considering the games division last quarter only reported a $50million profit when the PS2 and PSP businesses are both profitable and the PS3 software business is profitable, they must be losing money on the PS3 hardware. That quarter had the benefit of GT5:P, GTAIV, and MGS4 releasing, so this quarter they'll probably post a loss.