Sony taking big hit on each PS3 sold; Xbox 360 in the black

jmke · 17th November 2006, 08:06

Market research firm iSuppli has torn down the PlayStation 3 to see what's inside. In doing so, iSuppli confirmed what we reported back in February: the PS3 is expensive to manufacture and Sony is taking a serious hit on each console sold.

Describing the PS3 as an "engineering masterpiece," iSuppli estimates that the more expensive $599 console costs $840.35 to build, leaving Sony with a $241.35 loss on each console. The picture is worse for the cheaper, $499 version. Sony takes a hit of $306.85 per $499 console sold, due primarily to the lack of any substantial savings from the hardware differences between the two versions of the PS3. For instance, the 40GB difference in hard drive space between the two versions of the PS3 only saves Sony $11 and omitting 802.11b/g on the cheaper console only saves Sony an additional $15.50.

http://arstechnica.com/news.ars/post/20061116-8239.html

17th November 2006, 08:06	#1
jmke Madshrimp Join Date: May 2002 Location: 7090/Belgium Posts: 79,019	Sony taking big hit on each PS3 sold; Xbox 360 in the black Market research firm iSuppli has torn down the PlayStation 3 to see what's inside. In doing so, iSuppli confirmed what we reported back in February: the PS3 is expensive to manufacture and Sony is taking a serious hit on each console sold. Describing the PS3 as an "engineering masterpiece," iSuppli estimates that the more expensive $599 console costs $840.35 to build, leaving Sony with a $241.35 loss on each console. The picture is worse for the cheaper, $499 version. Sony takes a hit of $306.85 per $499 console sold, due primarily to the lack of any substantial savings from the hardware differences between the two versions of the PS3. For instance, the 40GB difference in hard drive space between the two versions of the PS3 only saves Sony $11 and omitting 802.11b/g on the cheaper console only saves Sony an additional $15.50. http://arstechnica.com/news.ars/post/20061116-8239.html __________________

Similar Threads
Thread	Thread Starter	Forum	Replies	Last Post
Power Consumption of PC, Wii, XBOX 360 and PS3 Compared	jmke	WebNews	1	22nd February 2007 13:16
MS preps black Xbox 360 as PS3 spoiler?	jmke	WebNews	1	8th February 2007 19:43
Microsoft Xbox 360 Outsells Nintendo Wii and Sony PlayStation 3 Combined	jmke	WebNews	1	12th January 2007 13:47
Empty DIY XBOX 360 retail box sold on eBay for $611	jmke	WebNews	4	25th November 2005 13:18
Shops begin to stop taking Xbox 360 pre-orders	jmke	WebNews	0	22nd September 2005 22:17
In Depth Look at the XBOX 360 and PS3	Sidney	WebNews	0	19th July 2005 17:21
Microsoft's Xbox 360, Sony's PS3 - A Hardware Discussion	jmke	WebNews	0	26th June 2005 15:48