Seriously. Sony is loosing money on every Vita sold, Nintendo is loosing money on every 3DS sold. The reason why Apple is making such a profit IS because they DO overprice their product.
Nintendo was making, what, 20$ per Wii sold?
Apple sells 3 million new iPads in 3 days
- Thread starter Wario64
- Start date
Seriously. Sony is loosing money on every Vita sold, Nintendo is loosing money on every 3DS sold. The reason why Apple is making such a profit IS because they DO overprice their product.
Nintendo was making, what, 20$ per Wii sold?
OldJadedGamer
Banned
Again, a product is only overpriced if people aren't buying it.
DCharlie
And even i am moderately surprised
i bought a HP DM1Z a year or so ago for Ipad price and i love it. Battery is about 6 hours though but for its size it has plenty of umph !
http://www.shopping.hp.com/webapp/series/category/notebooks/dm1z_series/3/computer_store
doesn't make me not want an ipad mind, but it's my take anywhere XNA/Reason/emu box of delights.
or if it's a luxury product in which being overpriced is the point you peasants!!!
get two jobs!!
Ninja Scooter
Member
Why do people get so adamant about these worthless labels like "toy" and "gaming device" that are completely arbitrary and can mean different things to different people? Who cares if you consider it a toy?
Just stop.
shinra-bansho
Member
BOM isn't really reflective of final profit per unit. Distribution, retail margin, etc.
Not necessarily. Low volume, high profit and the maintenance of a premium brand, may be the intent of a pricing strategy.
iPad does have mass effect for it.
Quicksilver4648
Member
Calling the iPad or any tablet a "toy" isn't meant to be a derogatory term. I use it exclusively as a another term to "recreation device". The Kindle is in the same category, as is any gaming console (handheld or stationary). I just find it rather shocking that 3 million of these $500+ "recreational devices" were sold in a 3 day period.
Have you ever worked as a retail manager? That's not how it works.
When you buy, say, a phone to sell, you buy it from the manufacturer at full retail price and sell it as you wish. Cell phones come with service. That means that you do not have to sell the phones for profit, as your main revenue comes with the cell service that you sell. Other forms of technology do not have an additional cost that you can fall back on.
Video game consoles do not work that way. When a store sells games or consoles, they split the money with the manufacturer from the start.
For example: Wal-Mart buys PSVitas for probably around half their price, or ~$125. If it costs $150 for Sony to make them, they are losing money on that transaction.
WalMart does not buy Vitas for $250 and sell them for $250. That does not make business sense.
That is why the 3DS only cost $100 to make, yet Nintendo is still losing money on them - they are selling them to retailers for $85.
BoM don't properly show how much the systems cost to make. Also systems are generally sold to retailers at about the same price as it costs Sony/Nintendo/Microsoft to make them. Retailers make profit off of the software.
OldJadedGamer
Banned
iPad is low volume?
Marty Chinn
Member
Wow someone here doesn't know how the video game industry works. Hardware does not have a significant profit margin for the retailers. It's never worked that way. A console would have a $5 to $10 margin because the retailers make their money on the software not the hardware.
I've placed orders for hardware before through a retailer. Not much is bought at full price from a manufacturer.
This someone was a retail manager at Best Buy who ordered the hardware from the manufacturers.
Don't assume you know things just because you are part of a video game forum.
InsaneZero
Member
http://www.maximumpc.com/article/news/apple_continues_make_huge_margin_new_ipad
Jesus Christ, dat profit. I dare anyone to say they aren't overpricing this goddamn thing.
iSuppli is never a good indicator of overall average cost of a product, since there's other associated costs that need to be taken into consideration, like marketing and whatnot. GAF has gone over this with the cost of the 3DS, and the iPad is no different.
My younger self would shit bricks if I showed him an iPad and he'd throw his Atari Lynx in the bin.
shinra-bansho
Member
I'm highly skeptical the Vita has a 50% retail margin...
I don't remember specifying the iPad in any way.
I don't remember specifying the iPad in any way.
lucius
Member
And it plays like crap compared to the console versions.
There is an Uncharted type game Shadow Guardian that plays good for an iOS game and was well reviewed, but it too is dog poo compared to the console Uncharted games. But when you are dealing with iOS games standards are lowered cheap games with cheap thrills that last about a week- the future of gaming has arrived!
Marty Chinn
Member
I assume I know things because I've worked in the game industry for 19 years now and worked video game retail before that and was in charge of ordering. Hardware had very little to no profit. Profit was always in software and accessories.
I bought an iPad for my wife, a 3DS for my son and a Vita for myself. It works both ways.
ClovingWestbrook
Banned
If my younger self saw an iPad he'd love it to death. He'd love the games just as he enjoyed the Atari and NES.
Yep.
Friend of mine bought a 3DS on January, Vita on February and an iPad (2) last week.
Loves them all, can't believe that his favorite game this year so far is...Resident Evil: Revelations.
Even Wario, who posted this thread; got a Vita last month.
davepoobond
you can't put a price on sparks
if all ipads are gaming consoles, then all pcs ever sold are gaming consoles.
polyh3dron
Banned
um, retailers hardly make any profit whatsoever on consoles OR new games. They only turn a substantial profit from accessories and used games.
don't see the problem with that...
Yep, I have no problems with a tablet as a gaming platform.Yep.
Friend of mine bought a 3DS on January, Vita on February and an iPad (2) last week.
Loves them all, can't believe that his favorite game this year so far is...Resident Evil: Revelations.
Even Wario, who posted this thread; got a Vita last month.
My family enjoys gaming on the iPad/PlayBook/WP7 just as we love playing games on the 360/PS3/Wii/DS/Vita/etc. There is enough room for both.
davepoobond
you can't put a price on sparks
you dont see the problem with a highly irrelevant statistic?
the only relevant statistic in regards to gaming and ipads is overall income for games specifically. just like it is on pc. pc has 80 billion computers out there but they make way less than any console overall.
Marty Chinn
Member
Retailers make huge profits off games relative to what they make off the console hardware. Granted there is substantial more profit in used games, but I wouldn't say it's hardly any. A $60 game has roughly a 50% profit margin.
Ninja Scooter
Member
You don't see the problem with highly irrelevant titles?
ClovingWestbrook
Banned
This.
I personally don't consider an iPad a proper gaming system. Yes, it does play games but it's main selling point are not the games. I don't think there are many people who will spend $500+ just to play mini games and games you play in bursts. Of course there is always the exception, like always. I have an iPad and an android, and when I decide to play the games it mainly last 10 minutes and then I get tired of playing it. It's great for wasting small amount of time but I wouldn't be playing 2 hours+ on an iPad or android.
On the other hand I can play Vita/3DS for hours*. Once the iPad gets more serious games (not saying there isn't but that's like what? 2% of the overall games?) and have physical buttons (which I guess defeats the purpose) then I would consider it a proper gaming machine. Of course that's my opinion, there will be others who think differently.
On the other hand I can play Vita/3DS for hours*. Once the iPad gets more serious games (not saying there isn't but that's like what? 2% of the overall games?) and have physical buttons (which I guess defeats the purpose) then I would consider it a proper gaming machine. Of course that's my opinion, there will be others who think differently.
*inbeforevita/3dsbatteryjoke
Ollie Pooch
In a perfect world, we'd all be homersexual
I was playing the awesome Super Stardust Delta last night - was trophy whoring so was playing some of the mini games. Was thinking the 'rock'n'roll' and 'disc slide' modes would work well on an iphone/ipad as a really cool score attack game - are there any games like that out for iOS? (That are actually good?)
Red Blaster
Member
It's pretty funny seeing nimrods trying to argue that a device that has perfect ports of DoDonPachi games and Espgaluda II isn't a real gaming device.
OldJadedGamer
Banned
The entire thread is about the iPad.
Tall poppy syndrome.
I've had more fun gaming on my phone than on my 3DS.
Leave the console games for the consoles. I don't want to play Uncharted on a 5 inch screen.
Synless
Member
They play like shit though due to the lack of controller. That alone makes them inferior regardless of the perfect porting. Argue all you want, I am right.
walking fiend
Member
You played Uncharted on your 3DS?
Red Blaster
Member
lucius
Member
Meteor Blitz on iOS plays similar to Super Stardust HD, it is not bad by iOS standards.
Calisto Glory
Banned
i dont care as long as i cant play Gears of War 3 on an ipad 
shinra-bansho
Member
And yet, there are numerous references to other products.
Your comment to which I responded, as far as I'm aware, was about products in general being considered overpriced when they're not selling in quantity. Except a premium price strategy does not make a product overpriced, since such model isn't intended to move product in large quantity.
I wonder why they are giving these toys to hospitals
OH NO. NOT THE AIR FORCE TOO!!
Fucking Gorillaz playing angry birds instead of making music for us.
It's a toy only if you want it to be. If you want to be productive with it, it surely beats a netbook by a mile.
But population at large has a pretty uniform view of toys - they are looked down upon compared to "useful" devices(they are toys, after all), which why Tablets are considered worth their inflated price tags(be it marketing or cognitive dissonance, people have convinced themselves they aren't toys).Ninja Scooter said:
Littlegator
Banned
...no?
People think the idea that the Apple will replace Nintendo/Sony in the handheld market is both ludicrous and scary, and would result in less "choice." Whether or not the idea is reasonable or not...