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Pachter was right: Kinect costs only $56 to make

November 12, 2010 in News comments 6

Industry analyst Michael Pachter never gets the credit he deserves. Back in February, he predicted that Kinect (then called Natal) would only cost about $50 to manufacturer. A recent technology teardown of the motion sensor shows he was right.

Xander756 via examiner.com »
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  • 0
    Fury* Nov 12, 10
    I suppose they were just trying to bank on the initial hype.

    Hopefully this means the pricecuts will come quickly. I don't think I would pay $150 for the thing even if it had a good game library at this point.
  • 0
    Bale Fire Nov 12, 10
    Well this only a real measure of the three main components right? You have to factor in the other parts, plus assembley and shipping.

    Still, it definitely seems to be overpriced.
    • 0
      Seproth Nov 12, 10
      Not really, do you think blu-rays and dvds take anywhere near what you pay to buy them? You're paying for the production costs of the movie as well. No difference here. Production itself is pretty low, sure, but with new tech you pay a lot on the front end before it comes near time to sell.
      • 0
        Fury* Nov 13, 10
        That's not typically true when it comes to gaming devices though. Companies will lose money on consoles and peripherals if it leads to higher game sales, which is the main source of their income.
        • 0
          Seproth Nov 15, 10
          It's true with consoles. Not so much devices, look at controllers, they don't cost nearly $60 to make.
  • 0
    DragoniteBallZ Nov 13, 10
    Usually all new types of products start off expensive to cover development and research costs. What Patcher is pointing out is simply the cost of the parts and assembly.

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