By using this site, you agree to our Privacy Policy and our Terms of Use. Close

Forums - Sales Discussion - Just How Did Sony Topple It's Console Empire with PS3?

NJ5 on 12 December 2008
Bboid said:

 production cost has been halved since january 08 which puts it in the 400-450 range and rumored to be around 400 since jan-may 08.  Most estimate a breakeven/ small loss. This was in almost every gaming blog/online chronicle/WSJ print in january 08.

If I had a penny for every article claiming that with no evidence...

The best information (from Sony's Chief Financial Officer to investors) says they're probably not breaking even yet (and this was before the dollar/euro plunged):

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.

Source

 



My Mario Kart Wii friend code: 2707-1866-0957

Around the Network
FishyJoe on 12 December 2008
NJ5 said:
Bboid said:

 production cost has been halved since january 08 which puts it in the 400-450 range and rumored to be around 400 since jan-may 08.  Most estimate a breakeven/ small loss. This was in almost every gaming blog/online chronicle/WSJ print in january 08.

If I had a penny for every article claiming that with no evidence...

The best information (from Sony's Chief Financial Officer to investors) says they're probably not breaking even yet (and this was before the dollar/euro plunged):

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.

Source

 

 

Not to mention this statement was before the currency problems.

 



rubido on 12 December 2008
Bboid said:

Hey, I like PS3.  Cheap blu-ray player, I enjoy my 500gb HDD, I enjoy it's exclusive games more than other consoles exclusive games, and I enjoy my games with an install because I freakin hate the pop-up I get with some 360 releases.  Prety sure I make 6 people that like PS3 though.

 

On the bright side for sony, their hardware now about breaks even cost to sale.

I think more people should just get a 2nd job and buy all 3 systems.

 

Are you getting paid to say that? I never thought I would hear this from someone that is not getting paid to say it.

Get a second job to buy 3 systems and not have enough time to play them because you're working?

Really, who are you working for?



Bboid on 12 December 2008
NJ5 said:
Bboid said:

 production cost has been halved since january 08 which puts it in the 400-450 range and rumored to be around 400 since jan-may 08.  Most estimate a breakeven/ small loss. This was in almost every gaming blog/online chronicle/WSJ print in january 08.

If I had a penny for every article claiming that with no evidence...

The best information (from Sony's Chief Financial Officer to investors) says they're probably not breaking even yet (and this was before the dollar/euro plunged):

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.

Source

 

 

It's the same information.  Factiva article cite's Sony directly. 



NJ5 on 12 December 2008

@Bboid: Do you have a link? How can the article say the opposite of this transcript while using it as a source?



My Mario Kart Wii friend code: 2707-1866-0957

Around the Network
coolestguyever on 12 December 2008

They charged $600, thats how. end of story, end of all threads of this type



Bboid on 12 December 2008

It's a subscription service through work so a link does you no good.

 

As for every article out there you want a penny for:  they all say "xyz analyst says" and it is all leaked info from the report you linked.  Breakeven is a phrase they use to get more attention when the report cites 50% reduction in original cost ($820-840)  which gives you a $400 (breakeven expectations - $420 (half of high end original cost) resulting in a breakeven/small loss category as I said in first post.  So they are all in line with Sony's own report, just some analysts were stating the basic catch phrase.  They don't say the opposite of the transcript as you insist. if you sift through the uncited articles you will notice they  don't state the full details, just the quick popular facts that will get a hit.



NJ5 on 12 December 2008

There is nothing in Sony's report which says they reduced costs by 50%. In fact, what Sony said was that they don't disclose specific numbers.

We must be reading different reports, either that or you didn't read the quote I posted...



My Mario Kart Wii friend code: 2707-1866-0957

Bboid on 12 December 2008
NJ5 said:
There is nothing in Sony's report which says they reduced costs by 50%. In fact, what Sony said was that they don't disclose specific numbers.

We must be reading different reports, either that or you didn't read the quote I posted...

 

whatever, arguing semantics on the same information.



NJ5 on 12 December 2008

@Bboid: Not the same information at all, in fact by saying that you're completely mischaracterizing the information I posted.

Maybe a repeat will help?

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.


Straight from the horse's mouth... I even bolded the important parts for you.

 



My Mario Kart Wii friend code: 2707-1866-0957