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Forums - Microsoft Discussion - Another Euro price cut? GB - $130 - $170 - $220 or US - $232 - $302 - $393

Squilliam said:
Username2324 said:
Squilliam said:

"The Arcade Xbox 360 will drop to GBP 129.99, the Premium unit to GBP 169.99, and the Elite console to 229.99, according to scans from the upcoming Woolworts catalogue, photographed by Engadget."

Converted to U.S again: GB - Arcade $130 - Premium $170 - Elite $220 US

                                         - Arcade $232 - Premium $302 - Elite $393

Link - http://www.eurogamer.net/article.php?article_id=235793

It looks like they were deadly serious when they said they were going to take 2nd place world wide and these pricecuts are a testament to that. Also it looks like the price-cuts in Woolworths were just a movement in the official prices.

As these prices are pretty similar to the U.S prices before anyone who says that its desperate I think they need to consider that the price cuts bring them about level with the U.S prices.

That doesn't make it any less desperate, MS isn't making any money on hardware, they are just digging their hole deeper hoping Sony will follow them down.

 


 

Both the Premium and Elite are likely profitable. The Arcade SKU is also breaking even at those prices.

Do you have proof or am I to take your word for it?

 



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@ Geldorn My numbers aren't pure fantasy.

Production costs are charged per wafer not per chip. Assuming yields stay the same of course if you produce twice as many chips on a wafer your per chip cost is halved. This doesn't effect packaging and testing costs of course.

So if your Wafer costs $10,000 and you can produce 100 chips @ 168mm^2 (13mm per side) your cost per chip is $100 assuming 100% yields. This is for the 90nm process node.

Since by all reports I have gathered with unfortunately no specific numbers bar reports that the Xenon die size has halved. If the die size has halved then the actual production costs would have halved at least for the chip component. So your $100 chip now costs $50. (Not taking into account packaging and testing costs which are extra to this)

Also the power requirements have halved, 200w - ~100w, so all the power regulation and supply equipment can be simplified. Im too tired for this...













Tease.

Timeline:

360 more expensive than Wii: Lowest in sales

360 less expensive than Wii: Lowest in sales

360 only 30 pounds more than PS2: Lowest in sales?



Hawkeye said:
obieslut said:
All i have to say is what happened to the dreamcast. all this price drop is really doing is lowering the value of the 360 in the consumers eyes. the way they will see it in europe is we already had a price-cut and now they are putting it down again, soon they will bring it down again, so we will wait.

to me the value of the 360 is just going to get seriously hurt by this. people must be thinking oh it must be really cheap and flimsy then. first we get the rrod so they all break down. and then the price just keeps getting lower and lower. i think this is going to backfire on microsoft in a big way.

the produc is already cheap and is getting cheaper. to be honest it dont look like an expensive product. and many people may feel it doesnt have the quality of a n expensive product. the price is not what is killing the 360 in europe. the value of the 360 when down even more with this price cut.

and oh yh just to say, you have been able to get the 360 from gamepro for like months and months now for like 130. i created a thread about i because i as shocked, and the Wii was selling for 150. with the pro at 170 and the elite at 230.

but we have a lot of game store in wolverhampton so its probably just competition between the stores.

 

360 was at $350-400 for so long that I think price cuts only increase the value for the consumer... its viewed as a better deal. 360 is now near PS2 price; people know the 360 won't go down a whole lot more for quite a while.

i was speaking for europe where quality>>>>>>>>>>>>>price.

but to europeans the 360 isnt very good quality and a price cut straight after a huge price-cut just emphasizes that to be honest.

 



this will help the 360 be at around 25mil+ sold by the end of the year, i am hoping for 26mil+. all regions now with new prices, things will be interesting for sure.



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Hmmm... Can't wait to see how it will affect sales.



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