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Forums - Sony - PS3 profitability -- Breaking down Kaz' statement

nordlead said:
JEDE3 said:


last time someone tried to use this logic it was when isupply came out. everyone shouted "IMPOSSIBLE!" "They must be losing at least 100 per console still!" then it turned out they were only losing 40.

Let's just say, if they are profiting on the PS3 hardware, than Sony has some very serious problems because they are failing to post any real profits in the gaming division. So take your pick.

  1. PS3 loses money on hardware and is enough to counteract almost all the other sources of income
  2. Sony has some very serious problems within the gaming devision


when have i ever said they were profitable on ps3 hw?



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JEDE3 said:
nordlead said:
JEDE3 said:


last time someone tried to use this logic it was when isupply came out. everyone shouted "IMPOSSIBLE!" "They must be losing at least 100 per console still!" then it turned out they were only losing 40.

Let's just say, if they are profiting on the PS3 hardware, than Sony has some very serious problems because they are failing to post any real profits in the gaming division. So take your pick.

  1. PS3 loses money on hardware and is enough to counteract almost all the other sources of income
  2. Sony has some very serious problems within the gaming devision


when have i ever said they were profitable on ps3 hw?

I infered from your post that you thought my $50 loss per system was wrong by about the same as your example, which made me think that you think they break even or even profit slightly.

Personally, I think they were very close to breaking even on the old model, and the slim probably set them back by ~$50.




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nordlead said:
JEDE3 said:
nordlead said:
JEDE3 said:


last time someone tried to use this logic it was when isupply came out. everyone shouted "IMPOSSIBLE!" "They must be losing at least 100 per console still!" then it turned out they were only losing 40.

Let's just say, if they are profiting on the PS3 hardware, than Sony has some very serious problems because they are failing to post any real profits in the gaming division. So take your pick.

  1. PS3 loses money on hardware and is enough to counteract almost all the other sources of income
  2. Sony has some very serious problems within the gaming devision


when have i ever said they were profitable on ps3 hw?

I infered from your post that you thought my $50 loss per system was wrong by about the same as your example, which made me think that you think they break even or even profit slightly.

Personally, I think they were very close to breaking even on the old model, and the slim probably set them back by ~$50.


I think they are close to breaking even now. They lowered manufactureing costs from 840 -> 420 by cutting out Ps2 components, 2 USB slots, a card slot, and shrinking the RSX and Cell to 65nm. 420 dollars by those simple steps. Now they cut the Cell to 45 nm (RSX not quit clear but I'd think they have) took chrome faceplate off. Chrome PLAYSTATION 3 off. Shrunk the chasis. Took the finish off. Are using push buttons instead of touch.



JEDE3 said:
nordlead said:
JEDE3 said:


last time someone tried to use this logic it was when isupply came out. everyone shouted "IMPOSSIBLE!" "They must be losing at least 100 per console still!" then it turned out they were only losing 40.

Let's just say, if they are profiting on the PS3 hardware, than Sony has some very serious problems because they are failing to post any real profits in the gaming division. So take your pick.

  1. PS3 loses money on hardware and is enough to counteract almost all the other sources of income
  2. Sony has some very serious problems within the gaming devision


when have i ever said they were profitable on ps3 hw?

 

JEDE3 said:
...maybe...

....just maybe....

sony is profitable with ps3 and it really does only cost 250 - 280 to make now...

I know its a little crazy.

 

 



Lord Flashheart said:
JEDE3 said:
nordlead said:
JEDE3 said:


last time someone tried to use this logic it was when isupply came out. everyone shouted "IMPOSSIBLE!" "They must be losing at least 100 per console still!" then it turned out they were only losing 40.

Let's just say, if they are profiting on the PS3 hardware, than Sony has some very serious problems because they are failing to post any real profits in the gaming division. So take your pick.

  1. PS3 loses money on hardware and is enough to counteract almost all the other sources of income
  2. Sony has some very serious problems within the gaming devision


when have i ever said they were profitable on ps3 hw?

 

JEDE3 said:
...maybe...

....just maybe....

sony is profitable with ps3 and it really does only cost 250 - 280 to make now...

I know its a little crazy.

 

 


nothing i've said contradicts me... glad it took you a couple of hours out of your day to find it though.



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guys..do we know how much it cost to make a Slim and Phat yet at this moment???...



Xxain said:
guys..do we know how much it cost to make a Slim and Phat yet at this moment???...

420 on fats.

This thread reeks of a strawman argument.

You don't know the real cost of the slim
You don't know how much sony loses on each PS3
You don't know how much money Sony is willing to lose this generation to stay in the race.

At this point its pure speculation on all fronts.



Lord Flashheart said:
JEDE3 said:
nordlead said:
JEDE3 said:


last time someone tried to use this logic it was when isupply came out. everyone shouted "IMPOSSIBLE!" "They must be losing at least 100 per console still!" then it turned out they were only losing 40.

Let's just say, if they are profiting on the PS3 hardware, than Sony has some very serious problems because they are failing to post any real profits in the gaming division. So take your pick.

  1. PS3 loses money on hardware and is enough to counteract almost all the other sources of income
  2. Sony has some very serious problems within the gaming devision


when have i ever said they were profitable on ps3 hw?

 

JEDE3 said:
...maybe...

....just maybe....

sony is profitable with ps3 and it really does only cost 250 - 280 to make now...

I know its a little crazy.

 

 

 nice ownage




ymeaga1n said:
Lord Flashheart said:
JEDE3 said:
nordlead said:
JEDE3 said:


last time someone tried to use this logic it was when isupply came out. everyone shouted "IMPOSSIBLE!" "They must be losing at least 100 per console still!" then it turned out they were only losing 40.

Let's just say, if they are profiting on the PS3 hardware, than Sony has some very serious problems because they are failing to post any real profits in the gaming division. So take your pick.

  1. PS3 loses money on hardware and is enough to counteract almost all the other sources of income
  2. Sony has some very serious problems within the gaming devision


when have i ever said they were profitable on ps3 hw?

 

JEDE3 said:
...maybe...

....just maybe....

sony is profitable with ps3 and it really does only cost 250 - 280 to make now...

I know its a little crazy.

 

 

 nice ownage


Not ownage at all. Even if it costs 250 to make it still would not be profitable for Sony. Also what he isnt showing you is what thread it is. I believe it is in "How can Sony drop the price" thread.. which... if Sony is selling at 400 dollars then, yes, the Ps3 is now profitabl, and yes, they can drop it. OWNED YOUR FACE!