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Playstation 3 intial cost?

Oblivion

Fetishing muscular manly men in skintight hosery
http://www.gameshout.com/news/062005/article1025.htm

The initial manufacturing costs for the PlayStation 3 are suspected to be around $494 USD.

A recent report estimates that the launch costs for the three main components of the system are the RSX graphics chip, Blu-Ray disc drive, and the Cell processor. The cost is $101 USD each.

In an attempt to beat Sony's new PS3 system price, Microsoft Xbox 360 could cut the $299 launch price even lower. Sony PlayStation 3 hardware will initially retail for $410 USD.

Sony has traditionally taken large losses on its new hardware to gain a market share advantage, however, it may face a disadvantage if forced into a price war, as Microsoft and Nintendo are each making more conservative choices when it comes to hardware: Microsoft is using the currently-existing DVD spec for its own media, while Nintendo has eschewed support for high-definition video, in the interest of maintaining its own history of turning a profit with each console unit sold.

Furthermore, Sony is currently still taking losses on its PlayStation Portable hardware in a continued, not yet successful attempt to beat the Nintendo DS and Game Boy Advance in the handheld game marketplace. The PlayStation 3 is currently expected to result in losses of over $1 billion in its first year of sales, in addition to the $1.83 billion already invested in R&D for the Cell chip, co-produced by IBM and Toshiba.

Bring on the discounts.

Can't say that seems like the wisest of decisions.
 
If true, I doubt I'll pick up a PS3 at launch ... or in the near future. Even with the exchange rates as they are when comparing the CAD to the USD, it would still be.

$410 USD = $rape.05 CAD
 
This is speculation based on the speculation of Sony paying 101$ for each Cell,RSX and Blu Ray drive.
Kinda useless in my opinion.
 
$494 cost - $410 retail = $84 loss

$1 billion expected loss in first year/$84 loss per unit = about 12 million units.

So Sony would be expecting to sell about 12 million PS3 systems in the first year alone, if these numbers are even remotely close to being true.
 
I didn't know Gameshout was about as reliable as *****. Feel free to close this thread, then.
 
sangreal said:

That's what they've got it dated as, but do a search on google news for "Playstation 3 initial costs" sorted by date and you get as your absolute first results:

http://news.google.com/news?q=Playstation 3 initial cost&num=50&hl=en&lr=&safe=off&sa=N&tab=wn

"Blu-Ray"

http://news.google.com/news?num=50&hl=en&lr=&tab=wn&ie=UTF-8&q=Blu-Ray+Apple&btnG=Search+News

Either they've screwed up thier indexing dates for their site, or it's a new website. Looking at the site, there's not much there of any interest, so I'm just annoyed that it pops up old stuff.
 
bill0527 said:
$494 cost - $410 retail = $84 loss

$1 billion expected loss in first year/$84 loss per unit = about 12 million units.

So Sony would be expecting to sell about 12 million PS3 systems in the first year alone, if these numbers are even remotely close to being true.

Well, the one billion loss.. I wonder if thats just on PS3 stuff, if so your numbers also don't include any game or accessory sales.
 
I've been getting a lot of old articles on google news as "1 hour ago" or whatever lately. I assumed the sites were just added to the GN index
 
Suikoguy said:
Well, the one billion loss.. I wonder if thats just on PS3 stuff, if so your numbers also don't include any game or accessory sales.

Well they did say $1 billion in losses. Sony could be including games and accessories in that aggregate number or maybe not. There shouldn't be any losses on day 1 from games and accessory sales but I don't know if they are tallying those in with the hardware in their expected loss analysis.
 
sp0rsk said:
if its 494 then i dont expect the system to be more than 300.

Yeah, I'd be slightly surprised if the cost to manufacture was under $500..I think $300 or $350 would likely be on the cards if that were the case.

And remember, these are an analysts estimates. Bluray/Cell/RSX Are not going to neatly cost $101 each ;)

edit - also, Sony never said they expect to lose $1bn in PS3's first year! That again was another analyst. Sony has said nothing so specific about expected cost or intial losses on PS3.
 
PS3 is going to cost AT LEAST $399 and no less. so this gives Xbox 360 a $100 worth of breathing room in which to keep up with PS3 sales and perhaps surpass them during 2006.

plus even with a price cut in 2007-2008, the PS3 is still going to be like $300 where Xbox360 will be $200.
 
xexex said:
PS3 is going to cost AT LEAST $399 and no less. so this gives Xbox 360 a $100 worth of breathing room in which to keep up with PS3 sales and perhaps surpass them during 2006.

plus even with a price cut in 2007-2008, the PS3 is still going to be like $300 where Xbox360 will be $200.


Who told you that? Is this Ken?
 
xexex said:
PS3 is going to cost AT LEAST $399 and no less. so this gives Xbox 360 a $100 worth of breathing room in which to keep up with PS3 sales and perhaps surpass them during 2006.

plus even with a price cut in 2007-2008, the PS3 is still going to be like $300 where Xbox360 will be $200.


Would not surprise me, asuming the Xbox 360 launches at > 299.99

However, if the Xbox 360 is 299.99 (with or without HDD) I expect no more then 349.99
 
xexex said:
PS3 is going to cost AT LEAST $399 and no less. so this gives Xbox 360 a $100 worth of breathing room in which to keep up with PS3 sales and perhaps surpass them during 2006.

plus even with a price cut in 2007-2008, the PS3 is still going to be like $300 where Xbox360 will be $200.

Wow, talk about talking straight out of your anus... lol Xbot to the max baby!!
 
xexex said:
PS3 is going to cost AT LEAST $399 and no less. so this gives Xbox 360 a $100 worth of breathing room in which to keep up with PS3 sales and perhaps surpass them during 2006.

plus even with a price cut in 2007-2008, the PS3 is still going to be like $300 where Xbox360 will be $200.

idiot9bb.png
 
xexex said:
PS3 is going to cost AT LEAST $399 and no less. so this gives Xbox 360 a $100 worth of breathing room in which to keep up with PS3 sales and perhaps surpass them during 2006.

plus even with a price cut in 2007-2008, the PS3 is still going to be like $300 where Xbox360 will be $200.

so if nintendo makes a system at 2 bills or less that looks somewhat next gen and comparable to the other two without HD then they might actually do ok for themselves.

this will be an interesting next 3-5 years.
 
If the PS3 has to priced more than $299, I see it along the lines of $329-349 in the U.S. As for our Japanese and European brothers, they would likely get reamed in the ass like always, well except for the PSP anyway for Japan.
 
Haha. . . these are good times indeed.

On one hand, the PS3 is allegedly "as powerful as" the Xbox1.5; because it can't be better than the other guys offerings.

Meanwhile, the PS3 going to cost more than the US Space Program (That's a lot of paperclips)! Yeah.

Finest GAF Logic!™
 
I don't think it will be priced quite that highly. However, if you think $400 is a reasonable price for just a console, wow.
 
Speevy said:
I don't think it will be priced quite that highly. However, if you think $400 is a reasonable price for just a console, wow.

If you adjust for inflation, it is a very reasonable price for a console.

But Americans or just consumers in general can't do maths to save their lives, so it's... psychologically very unreasonable.
 
I realize its only speculaion but sucks to even comprehend a 400 dollar console nowdays.

A PS3 for near 400 dollars and without a protection plan included,that would be brutal. Actually its brutal for the X360 too,damn more money to be spent.
 
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