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Discussion Starter · #1 ·
It looks like Sony will soon be able to make the PS3 for less cost than it does now by reducing the number of parts it has while also shrinking the processor. Here is a link to their corporate strategy page, and this slideshow in particular mentions the cost cutting plans (slide 18, and it's in english).


Also mentioned is that White Knight Story is due by March '09 (specifically, this fiscal year).
 

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I was really impressed by the 90->65 nm Cell jump. I hope the 45nm chips run even cooler and Sony can get the GPU improved similarly.
 

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Quote:
Originally Posted by joeblow /forum/post/14165804


Also mentioned is that White Knight Story is due by March '09 (specifically, this fiscal year).

I have not seen any traditional RPG's around. Would this be the first one to thit the system?
 

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I still think 45nm is a ways off. The process is too expensive and immature right now. Even Intel can't put out 45nm chips in high volumes. Most Dells cost a lot more with them and the PCs at Best Buy are almost all 65nm.
 

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It better be cheap soon.

http://videogames.yahoo.com/feature/...he-ps3/1223467


Quote:
Sony has lost over $3 billion on the PS3

Mario and Master Chief seen hi-fiving.



By Ben Silverman



Think you paid too much for your Playstation 3? Don't expect any sympathy from Sony.


In the company's fiscal 2008 annual report, Sony revealed that they've now lost roughly $3.3 billion (that's billion with a B) on the Playstation 3 since its launch. That breaks down to $2.16 billion in 2007, followed by a notably smaller but equally daunting $1.16 billion loss in 2008.


The reason? Pricing the console below its production cost. That's right - that hefty $599 you paid for the PS3 back when it first launched was significantly cheaper than the cost of producing it in the first place, and while the retail price has come down some, the losses keep piling up.
 

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Discussion Starter · #7 ·
Every PS system ever released has lost money because of initial R&D, production and marketing costs. It dropped down almost 50% in one year to 1.16 billion, which is less than the warranty repair budget alone of the other next-gen console last year.


Sony's game division expects to be profitable next Fiscal Year in the report, so things are in decent shape for them.
 

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Sony is big business. They didn't really lose any money with the PS3. The initial money "lost" is an investment for future money "earned". No one is going to give you anything if it was going to benefit them somehow in the long run. Anyway, I don't know anything about business and I made all that stuff up. Sounds common sensical though right?


The single one major benefit? The PS3 played a huge role in proving the winner of the recent HD format war. Still think Sony is losing money?
 

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Quote:
Originally Posted by joeblow /forum/post/14169718


It dropped down almost 50% in one year to 1.16 billion, which is less than the warranty repair budget alone of the other next-gen console last year.


Actually thats not true. The competition took a 1B charge on the books, they have not spent 1B and even if they did 1B is less than 1.16B by the way.


imdjenk is correct, they are not long term losses, they are investments. Nearly eveything runs in the red at the begining. As the adage goes, ya gotta spend money to make money.
 

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Discussion Starter · #10 ·
Interestingly enough, I see some websites saying that because of the "investment" figures over the last two years that we won't see a system price cut this year despite the manufacturing savings detailed above. Sony was able to implement a price cut last year and they still "invested" a lot less money than the year prior, so there's no reason to doubt that they can do it again this year if they see the best opportunity to do so.
 

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Almost everyone looking at the system says is, currently and by far, the best Blu-ray player out there. When/if the Xbox-360 changes over that may change. Or when the prices of stand-alones players start really breaking the $300 level that may change.


But so far, given all the things it can do, almost everyone says it is a very good deal. Why charge less for the foreseeable future? Only reason I can think of is trying to achieve better market penetration. If you dropped it to the price of a Wii . . .
 

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Discussion Starter · #15 ·
According to this forum's poll on the issue , only 18% of the machines sometimes have noise issues. The vast majority of us are fortunate not to have the problem it seems.
 

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Quote:
Sony has lost over $3 billion on the PS3

Mario and Master Chief seen hi-fiving.



By Ben Silverman


......

I could see Mario being happy and hi-fiving but why Master Chief. That implies that Microsoft for this gen did not lose money (a la Nintendo). Last I read MS games division was still not profitable. Has that changed?

 
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