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Analysts Claim Sony is losing $100 per PS3 Slim
- Thread starter thuway
- Start date
Chauncy Talon
Member
If sony losing 100 dollars on every slim, then how will they make a profit on the system to continue on making more slims? I heard that they were losing 100 dollars on all the 60 GB when they were release in 2007.
Psychotext
Member
It wouldn't... they dropped the price by $100.gtj1092 said:
Edit - I should probably clarify that I think the $100 loss figure is utter crap... but that's aside from my post there.
infinityBCRT
Member
You have to take into account packaging & shipping & the retail cut as wellivedoneyourmom said:
elrechazado
Banned
Chauncy Talon said:
heh, you need to catch up on some reading. Not sure whether to start with the 2007 release, the 100 dollar loss on release, or the "how can they profit by selling a console at a loss" thing....I'll let someone else do it.
Ash Sparrow
Banned
Yeah i believe it, i wondered earlier why tretton used the razor blade model while discussiing the slim.
its a shame that they arent breaking even on these things now
its a shame that they arent breaking even on these things now
Cat in the Hat
Member
Quoting cause I still don't think people are getting it.gregor7777 said:Better? People seem to like images.
:lol
It can be the banner for the thread.
Ash Sparrow said:
please, there would be OUTRAGE if people find out Sony was making money on PS3... Thats not the way system works
p.s. if Slim was priced as TV's are... it would cost... $800-$900? So even if Sony lost $10 or even made $30 on PS3, for them, it would still be razor blade model compared to the way electronic business usually works.
So Sony went from selling a PS3 that loses them $40-$50 to selling a PS3 that loses them $100?!? :lol :lol
The whole point of the Slim to lose less money, not more. Now, I do believe Sony does lose money on the Slim, but it's less that what they were losing on the 80 gigs. If I were to guess, I'll say they are losing half as much as the fats. In other words, they're losing about $20-$25 per Slim. That sounds far more reasonable.
The whole point of the Slim to lose less money, not more. Now, I do believe Sony does lose money on the Slim, but it's less that what they were losing on the 80 gigs. If I were to guess, I'll say they are losing half as much as the fats. In other words, they're losing about $20-$25 per Slim. That sounds far more reasonable.
Flying_Phoenix
Banned
:loldiddlyD said:
fizzelopeguss
Banned
diddlyD said:
lol.
Digital-Hero
Member
gregor7777 said:Better? People seem to like images.
:lol
It can be the banner for the thread.
No it can't. He doesn't even state by how much. It could be $1 dollar for all you know. Lay off the FUD.
Thunder Monkey
Banned
*reads thread*
Maybe I should just go back to the OT side. You people are freaking nuts. From every side. Yeah, Sony is losing money... so? Get the system cheaper is a yay.
It's a win no matter what side you are on. More people get a gaming system. The industry grows. That's a good thing.
Maybe I should just go back to the OT side. You people are freaking nuts. From every side. Yeah, Sony is losing money... so? Get the system cheaper is a yay.
It's a win no matter what side you are on. More people get a gaming system. The industry grows. That's a good thing.
IrishNinja
Member
Thunder Monkey said:
hah, you must be a hoot in console wars & NPD threads.
Segata Sanshiro
Member
There's no way they'd drop the price by as much as they did if they were losing that kind of scratch. Just no way. It would put the gaming division at high risk and the company on the whole is not doing very well.
Mr. Thunder Monkey, if all you care about is the end result and have no care/concern for the analysis of the men behind the curtains, I think you'll find you should be playing games instead of wasting time on a message board.
Mr. Thunder Monkey, if all you care about is the end result and have no care/concern for the analysis of the men behind the curtains, I think you'll find you should be playing games instead of wasting time on a message board.
sloppyjoe_gamer
Gold Member
Thunder Monkey said:
thisisgafdude.gif
Tylahedras
Banned
This has already been said I know, but I have to say it again:
70% of original cost often estimated at about 900$ has been cut.
So
.3 x 900$ = 270$
If you include the costs of shipping and such it's probably still making a little money. But I'm fairly confident the whole reason they waited till this year for the price drop was that Sony corporate wouldn't allow them to keep bleeding money on the machine since the company is starving for liquidity.
70% of original cost often estimated at about 900$ has been cut.
So
.3 x 900$ = 270$
If you include the costs of shipping and such it's probably still making a little money. But I'm fairly confident the whole reason they waited till this year for the price drop was that Sony corporate wouldn't allow them to keep bleeding money on the machine since the company is starving for liquidity.
ajcastillo
Banned
OMG really guys do we mind that SONY is losing or NOT money with the new PS3 SLIM really or you guys have secret sony stocks under your beds:lol .
PS: Uhm in a post a will back is it true that the PS2 gave revenue until 5 years on production? no way like in 5 years they were like 50 million ps3 sold around the world damn, need confirmation of this please?
PS: Uhm in a post a will back is it true that the PS2 gave revenue until 5 years on production? no way like in 5 years they were like 50 million ps3 sold around the world damn, need confirmation of this please?
Segata Sanshiro
Member
If you aren't interested in the topic, you are free to not post in the thread.ajcastillo said:
ajcastillo
Banned
Segata Sanshiro said:
My apologies didn't want to cause a stir sorry, but yeah i am interested in the topic even more in how it results, so sorry again.
Fyodor Dostoevsky
Banned
My PS3 turns on and plays games. It's pretty cool and if I look closely enough at it I CAN FEEL THE TANGIBLE CONNECTION BETWEEN ME AND THIS AMAZING COMPANY THAT BUILT IT. THEY LOVE ME. THEY LOVE ME.
elrechazado
Banned
Flying_Phoenix said:
Wow, how did I miss that, that's the post of the year right there.
elrechazado
Banned
androvsky said:
Kaz saying that they lose money on every ps3 could certainly be part of a marketing campaign.
Does it really hurt sony to again reinforce "hey look how much value you're getting if you buy this thing...it costs us more money than we sell it to you for". Perceived value is a nice tool.
Ogrekiller
Member
Thunder Monkey said:
Maybe you're too anal about this. There are much worse threads out there in OT.
Sony is probably confident in its software division making up for the loss it might incur in dropping the price/ pushing the slim.
Magnus_Bulla
Member
Jesus balls guys, it's not complicated. In order for the PS3 to sell at a $100 loss it would have to cost $400 to produce/ship/retail cut/etc. Keeping in mind that they've repeatedly said the production costs have dropped 70%, that means launch systems would have to have cost them roughly $1300 all told. I don't know if we know what the original cost was, but that seems hella high to me, ergo there's no way they're selling the Slim at a $100 loss.
Yes, the Slim is still losing them money, as has been said multiple times, and no, it's not a $100 loss. There's nothing left to discuss here, anything else is just madness.
Yes, the Slim is still losing them money, as has been said multiple times, and no, it's not a $100 loss. There's nothing left to discuss here, anything else is just madness.
elrechazado
Banned
Magnus_Bulla said:
Not reading the thread is cool, because nobody has discussed those things at length yet.
androvsky said:
Remember manufacturing parts is only one part of the equation. Need to assemble all the parts together, package them, and ship. So I'm guessing after packaging and shipping sony is losing a little money on each system for now. I highly doubt the slim costs only about 40 dollars less to manufacture as these analysts claim.
OldJadedGamer
Banned
Digital-Hero said:
If they lose $1 or $1,000 the fact remains that they still don't make money off the hardware even with the slim.
cartoon_soldier
Member
The best part about this thread is GAF thinking they are leading experts on determing whether Sony is losing money or not.
FateBreaker
Member
Cruzader said:
Every single time I hear this comment I laugh. Any variation of it = laughter. Yes, why should anybody care whether or not a company profits.
CultureClearance
Banned
FateBreaker said:
I don't know if you're being sarcastic or not but I wonder why myself. If you want something and you're willing to pay the price offered for it, you get the product. As a consumer why in hell's name do i care whether it makes profit for the company. It's their price, not mine. It's my money, not theirs until I nod my head and agree to the sum. My input is in the purchase or lack of purchase of the product.
Segata Sanshiro
Member
Because you'd see an awful lot of the people (though perhaps not yourself) who are singing the "I don't care whether the company is making a profit or not" tune start singing a new one pretty damn fast if Sony went third party/under completely. See January 31, 2001, if you'd like some reference material.CultureClearance said:
To all those who think this discussion is pointless: who cares what you think, if people want to discuss this, they should be able to, if you don't like the discussion ignore the thread.
Frankly, I think it is interesting speculating how much it costs to build the machine, and how that will change over time while they hopefully become profitable and regain lost monies.
Frankly, I think it is interesting speculating how much it costs to build the machine, and how that will change over time while they hopefully become profitable and regain lost monies.
XiaNaphryz
LATIN, MATRIPEDICABUS, DO YOU SPEAK IT
Yes, but to REALLY get attention you need an animated gif obviously. Go commission Mama Robotnik. ;Pgregor7777 said:Better? People seem to like images.
:lol
It can be the banner for the thread.
riceandbeans
Member
Can't see how they're still losing out on so much money. They're using cheaper plastic, parts and components. Maybe on launch Slims they're losing out, but I can't see how this would be a long-term loss.
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