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PS3's Outlook Improves As Production Costs Decrease

May 17, 2009 in News comments 3

Sony's Engineers have cut costs on the PlayStation 3 by over 60% margin since it's inception. Bringing the cost down from the high mark of $800 down to $420.

Nowadays, it’s rare when a videogame console manages to sell at a profit rather than a loss. Many of you may remember the days of when game consoles were priced as high as $500 simply because that’s how much they cost to build. It made absolutely no sense from a business standpoint to do otherwise. Sony, however, forever changed the playing field with their first game console, the PlayStation.

Though manufacturing costs were reportedly much higher, they ate the upfront losses (much to the horror of their competition) and attempted to make their money back through software licensing. It worked, and it worked very well. Sorry, Sega.
DoucheVader via playstationlifestyle.net »
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  • 3
    Red 9 May 18, 09
    This is old news. It's been at $399 for ages.
    • 2
      iLLmatic May 18, 09
      The price has been $400. The cost has not.
  • 0
    HisServant77 May 18, 09
    Exactly as iLL said, the cost of the console has gone down, not the price we pay in store.

    But one thing that is bugging me . . . I'm thinking PSLS has gotten a few bad authors lately because the cost has not been cut BY 60% from inception.

    420 is not 60% less than 800. It's more like 40% and 420 IS 60% of the original cost. So it should be read, that they cut the production cost by nearly 40% . . . OR that they cut the production costs down to nearly 60% of that originally true.

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