Canis lupus
Member
also an opportunity to revive some kaz gifs rolf
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Kaz Hirai: "PS4 hardware is already profitable"
- Thread starter Spiegel
- Start date
throwawayname
Member
Based Kaz
I want to see him at E3
I want to see him at E3
CassidyIzABeast
Member
I was under the impression they were making a small profit off PS4 from day uno.
ComputerMKII
Banned
Price drop Soon?
brickarts295
Member
Indeed.
Outside of NA, I just don't see this happening. Even if MS starts to pull ahead of Sony in NA (which I still doubt), it doesn't mean Sony's lead is going to start shrinking if they continue to dominate in the rest of the world.
It will make for interesting NPD discussion but that's about it.
LookAtMeGo
Member
I imagine they would like to keep on profiting as much as possible 'till sales slow down significantly.
Clockwork5
Member
Yeah it feels cheap. And the controller is garbage.
It plays games well though!
It plays games well though!
The_Almighty_Swan
Banned
E3 $100 price drop incoming.....
dreamer3kx
Member
Oh oh, cocky Sony.
Lol what ?
Goldenmoney
Member
Isn't Wii U still sold at a loss because of the price cut?
I think they'll drop the price to $350 regardless. Whilst the Xbox One is flopping in Europe it's been doing okay in the States so a $50 price cut should effectively kill off the One in the only territory it's doing okay in. Will mean that the One will go from being a less powerful machine for the same amount of money back to a less powerful machine for more money again.
Edit: Nope, not any more. The Wii U is selling at a profit now.
LookAtMeGo
Member
Kaz just shot himself in the foot.
BananaSprinkles
Banned
Translation of the text in the OP using Google Translate:
So I'm thinking it's a profit on each unit sold since games would be "software."
killatopak
Member
ESRAM isn't gonna drop prices easily though so MS still couldn't. Plus DDR3 prices are rising so....
Ol No Bones
Banned
With this generations relatively weak hardware I thought they were profitable from the beginning.
shadowsdarknes
Member
That was faster than Nintendo with the Wii U. Damn.
Go PS4!
Go PS4!
LegendofDragoonLives
Member
Can you please lower the price in Canada to 400$ now then? Some of my friends want to buy the system. Crazy how in November the X1 is 100$ more expensive and 8 months later, it will be 50$ cheaper here...
I will wager Sony is going to lower the price of the PS4 by 50$ every November now. They must be printing money then if they're already making money, esp since people tend to buy a game with the system on top half the people likely buying PS+ with their purchase.
Crazy how in November the X1 is 100$ more expensive and 8 months later, it will be 50$ cheaper here...I will wager Sony is going to lower the price of the PS4 by 50$ every November now. They must be printing money then if they're already making money, esp since people tend to buy a game with the system on top half the people likely buying PS+ with their purchase.
PsihoPerihelion
Member
Great console, so all of this is well deserved. Now fix your fucking OS, please.
Thanks.
Thanks.
Have you tried pricing out a PC build from scratch with PS4 specs?
shadowsdarknes
Member
OS is fine. Improvements are welcome but it's not broken.
RadarScope1
Member
Great to know this. Now make it count and use this opportunity wisely, Sony.
Nailed it. Just give devs and consumers a straight forward and power platform, and let the game makers and the market determine "the next big thing." Hint: it's games. Always games.
Not really a surprise given that consumers themselves can build PC's that outpower the PS4 for comparable prices already. By a simple economy of scale the PS4 should be absurdly profitable for Sony at $399. But for similar reasons I think this decision to race to profitability could end up severely hurting this gen of consoles in the long run.
ThatStupidLion
Member
Bundles vitas now!
zomgbbqftw
Banned
I do wonder if he is referencing the global ASP rather than the US specifically though. The global ASP will be significantly higher than $399 because of strong GBP and EUR performance. A PS4 sold in the UK nets them around $455 on the current wholesale price minus the distributor cut, it is a similar picture in Europe as well, given that around 50% of all PS4's sold are in Europe it will raise the global ASP to around $430, so the revenue derived on PS4 sales could give them a positive gross profit margin on hardware while still selling at below cost in the US.
The current BoM for the CECH-1006A is around $390, in the US Sony's derived revenue per sale is probably lower.
The current BoM for the CECH-1006A is around $390, in the US Sony's derived revenue per sale is probably lower.
shadowsdarknes
Member
No the Wii U is at least breaking even now.
chaosblade
Unconfirmed Member
Why wouldn't it be? Nintendo can't reduce cost if they can't sell systems.
mcz117chief
Member
No chance, pal. If it keeps on selling there is no reason to drop the price.
The console feels cheap?
Acquiescence
Member
So then smooth sailing for the Playstation brand this gen hopefully.
Nintendo announced at launch they'd be making a profit after one game sold. I think it's safe to say they probably entered profitable on the hardware alone quite some time ago. Although I'm not sure how fast the manufacturing cost on something like those controllers goes down.
Phoenician_Viking
Banned
PS4 hardware is profitable.
I thought as much. With digital, DLC, and services, their profit should eclipse the PS2 by a lot.
Live Free or Die
Banned
Awesome.