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Zelda_fan
02-18-06, 11:59 PM
well here is a little link from Merrill Lynch (wall street investment broker) on how much the PS3 is gonna cost and WHY. Looks like bluray adds $350 to the price tag along. roflcoper. sony are morons.

http://www.engadget.com/2006/02/18/playstation-3-costs-900-sez-merrill-lynch-mob/

Acid Rain
02-19-06, 12:02 AM
well here is a little link from Merrill Lynch (wall street investment broker) on how much the PS3 is gonna cost and WHY. Looks like bluray adds $350 to the price tag along. roflcoper. sony are morons.

http://www.engadget.com/2006/02/18/playstation-3-costs-900-sez-merrill-lynch-mob/And you don't even get a hard disk by default. Priorities, anyone?

steamedrice
02-19-06, 12:31 AM
you do know consoles have always sold at less than the cost to produce them?

see the recent xbox 360. costs 715 bucks per console, being sold at 399.

Zelda_fan
02-19-06, 12:39 AM
you do know consoles have always sold at less than the cost to produce them?

see the recent xbox 360. costs 715 bucks per console, being sold at 399.

you are completely wrong. It's around 550. So judging by Microsoft's model, the PS3 will cost $750.

http://www.tgdaily.com/2005/11/23/xbox360_cost_estimated/

http://en.wikipedia.org/wiki/Xbox_360

BusinessWeek magazine compiled a report which estimates that the total cost of all of the components in the "premium" bundle is $525 USD, aside from additional manufacturing costs, meaning that Microsoft is losing at least $126 on every Xbox 360 system sold in the US, and at least as much in Japan.

lognoronon
02-19-06, 12:45 AM
As of now it's going to retail for approx $499 usd and that's according to what eb/gamestop have been told.

Zelda_fan
02-19-06, 12:57 AM
As of now it's going to retail for approx $499 usd and that's according to what eb/gamestop have been told.

then Sony's losses will be approximatly double what MS losses are.

steamedrice
02-19-06, 01:07 AM
yea but how did you get 750? its actually 674 if you did this based on ms pricing which is how you said you got it... 800 - 126

Zelda_fan
02-19-06, 01:10 AM
yea but how did you get 750? its actually 674 if you did this based on ms pricing which is how you said you got it... 800 - 126

it costs 900 to produce, not 800. The parts alone cost $800 + another $100 for manufacturing.

Rakeesh
02-19-06, 03:20 AM
Historically only one console in existence with a price that high has ever succeeded. That was the Atari 2600, with its nice wood finish that was common among TV's and VCR's of that era.

msxyz
02-19-06, 03:28 AM
According to that report the biggest culprits for the cost are two components in particular: the CPU and the disc drive.

Let's begin with the BluRay disc drive. While there's no doubt that the manufacturing costs are higher (The laser pickup and its associated mechanisms should cost initially ~4 times the price of a unit designed for a CD/DVD drive) the costs reported are way too high unless they include a return for the R&D investments.

Since BluRay is not a technology used only in the console, Sony can clearly decide not to "charge" the R&D costs for the BluRay drive on the PS3 while making consumers paying a premium price on standalone devices.

Now onto the Cell. That price estimation is based on the first available data about yields (~60 working chips per wafer) and the current manufacturing cost of a single wafer. Yet the yields figures are likely to have improved since then, because when IBM distributed those figures mass production had just started.

I don't think the PS3 will cost more than 600-650$ to produce, in the end. Depending on how deep Sony pockets are (and how much credit the banks are willing to give) they might be able to launch the PS3 at 399$.

Acid Rain
02-19-06, 03:29 AM
you do know consoles have always sold at less than the cost to produce them?

see the recent xbox 360. costs 715 bucks per console, being sold at 399.For a $400 loss? Methinks no.

As far as the other statement, Zelda_fan put out that BS fire for me.

Rakeesh
02-19-06, 03:31 AM
Shame too because the PS3 isn't going to be that much better than the 360.

Mr_LoL
02-19-06, 04:08 AM
If it is going to cost that much i might as well start saving now. i need to play that new Gran Turismo and Devil may cry.

PeterJensen
02-19-06, 04:41 AM
Well MS can stand to loose allot of $, sony cannot.

Mr_LoL
02-19-06, 06:10 AM
In November Merril predicted

http://img498.imageshack.us/img498/2271/lynchps3nov4mz.jpg

Edge
02-19-06, 06:42 AM
Wonder why some projected prices went up and others went down. I just noticed though...the RSX's cost is only $70? Wow, isn't that a little bit insane considering how expensive the 7800 is? Granted, that isn't including RAM and would be in chip rather than card form, but it's still strange to think the technology can be cut down to such a low price.

msxyz
02-19-06, 07:03 AM
Wedll, it's made with 90nm so the die is smaller and it probably has other features removed because useless on a chip made for consoles. Plus it's memory interface will be only 128bit wide, requiring much less pads (they take a lot of space on silicon) and the cost of packaging is probably minor as well.

Knot3D
02-19-06, 07:27 AM
You basically started over the same thread (about PS3 price) again !? :rolleyes:

I think you fear this machine a mucho.

Lil Sassy
02-19-06, 07:41 AM
What's to fear? You do know that we are allowed to buy more than one console, right? Nothing to fear at all, except, in this case, the price.

*EDIT* So, steamedrice, I noticed you voted in my poll. You voted that you've had issues with your xbox 360. If you want, it'd be cool if you could drop off your experience in that thread. I didn't even know you had one. ;)

Knot3D
02-19-06, 08:11 AM
That's thinking too literally.

I meant 'fear' as in that it's kind of obvious that he's looking for reasons as to why PS3 would not be succesfull. TS has made it no secret he likes Nintendo,
hence, a hefty priced PS3 would pose less a threat to what he likes.

This is not so difficult to follow, right ?

Zelda_fan
02-19-06, 11:12 AM
That's thinking too literally.

I meant 'fear' as in that it's kind of obvious that he's looking for reasons as to why PS3 would not be succesfull. TS has made it no secret he likes Nintendo,
hence, a hefty priced PS3 would pose less a threat to what he likes.

This is not so difficult to follow, right ?

lol you are talking like it would actually hurt me personally if Nintendo "loses" to Sony in the console wars. I honestly couldn't give a rap crap, I just want to be able to rub it in to the PS3 fangirls (I won't mention any names). But as long as Nintendo keeps making Mario, Zelda, Starfox, and Metroid, then I'll be a happy camper.

Zelda_fan
02-19-06, 11:13 AM
According to that report the biggest culprits for the cost are two components in particular: the CPU and the disc drive.

Let's begin with the BluRay disc drive. While there's no doubt that the manufacturing costs are higher (The laser pickup and its associated mechanisms should cost initially ~4 times the price of a unit designed for a CD/DVD drive) the costs reported are way too high unless they include a return for the R&D investments.

Since BluRay is not a technology used only in the console, Sony can clearly decide not to "charge" the R&D costs for the BluRay drive on the PS3 while making consumers paying a premium price on standalone devices.

Now onto the Cell. That price estimation is based on the first available data about yields (~60 working chips per wafer) and the current manufacturing cost of a single wafer. Yet the yields figures are likely to have improved since then, because when IBM distributed those figures mass production had just started.

I don't think the PS3 will cost more than 600-650$ to produce, in the end. Depending on how deep Sony pockets are (and how much credit the banks are willing to give) they might be able to launch the PS3 at 399$.

um yeah I think I'm gonna trust Merryll Lynch's professional research over your made up data.

|MaguS|
02-19-06, 12:09 PM
Analyst's are ALWAYS wrong... remember how everyone predicted that the PSP would be $300+, launched for below $200 in Japan. Also, No company every makes money off hardware so if the system costs them $800 to make or even $900, they can sell it for $399 and accept the loss since the software will more then make up for it (Sony has enough backing for it, just like MS). Sony has already gone on the record and stated that with the PS3's launch they will be in the red untill the software sales aid in the recovery, they also will be making alot off Blu-Ray movie sales aswell.

As for the Hard Drive not standard... its the same way for the X360 and MS even lied about it stating that no game would ever requier the HD and yet there are now TWO titles that cannot be played without it. One is Final Fantasy XI and the other is Football Manager...

Zelda_fan
02-19-06, 12:45 PM
Analyst's are ALWAYS wrong... remember how everyone predicted that the PSP would be $300+, launched for below $200 in Japan. Also, No company every makes money off hardware so if the system costs them $800 to make or even $900, they can sell it for $399 and accept the loss since the software will more then make up for it (Sony has enough backing for it, just like MS). Sony has already gone on the record and stated that with the PS3's launch they will be in the red untill the software sales aid in the recovery, they also will be making alot off Blu-Ray movie sales aswell.

As for the Hard Drive not standard... its the same way for the X360 and MS even lied about it stating that no game would ever requier the HD and yet there are now TWO titles that cannot be played without it. One is Final Fantasy XI and the other is Football Manager...

who gives a crap about what it launched for in Japan. Unless anyone here lives in Japan that point is worthless. And regarding the PSP, guess who is making the big $$$ on handhelds, the DS or the PSP? I'll give you a hint, it isn't Sony.

Sony is counting on the fact that the 80 million fangirls who bought the PS2 will follow suite with the PS3. That isn't going to happen for two reasons: 1) XBOX 360 is already out to the market and seriously attracting people's attention. Once MS can get the supply problems worked out it's gonna be lights out for Sony. 2) No one is gonna pay 600+ for a PS3. 3) Blue-Ray is gonna lose to HD-DVD. 4) Revolution is gonna steal Sony's thunder. I'm guessing the PS3 might penetrate 20 million users over it's life. Nowhere near enoguh to make up for Sony's losses in software.

lol sony is screwed.

Knot3D
02-19-06, 01:00 PM
lol you are talking like it would actually hurt me personally if Nintendo "loses" to Sony in the console wars. I honestly couldn't give a rap crap, I just want to be able to rub it in to the PS3 fangirls (I won't mention any names). But as long as Nintendo keeps making Mario, Zelda, Starfox, and Metroid, then I'll be a happy camper.

Well, you can't predict the true PS3 pricing nor it's effect ; hence your 2nd effort for such a thread is nullified.

It's a sign on the wall if a person tries to 'rub something in' again which isn't even fact. The person's probably deeply hurt awhile back by them "PS3 fangirls". :p