shoelyesses
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i traded in galaxy back in the day...one of those zeldas... a kirby game and paper mario and something else i dont even think i got barely over 100 bucks for like 5 games...
The Old PlayStation Thread | *NEW THREAD IS UP*
- Thread in 'General' Thread starter Started by iheartboost,
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ssjjfar
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So lets use manufacturing cost for Sony, then ignore manufacturing cost for X1 and proceed to knock another $7 magically, and amazing you arrive at $50. Impressive
Anyways these are just estimates, and that's sites estimates come to a $10 difference. I'm not even sure if or how much retailers get in profit from sale or if they are forced to sell at cost. If they aren't Sony nor Microsoft are making money simply off console sales online even when at full price and no bundle.
Yes that would be easy to believe since orginal xbox was sold at a loss orginally, as was the 360. It's very common for consoles to launch selling at a loss, and then to start turning a profit after components become cheaper and production cost goes down. Sony and Microsoft always have done this early on. They make money after selling a game or a online subscription to the consumer.
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RustyShackleford
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Ummmmmmm,
. -So the leading research group in this area is wrong, but you some dude on the net is right. Oh ok
-You're switching around the numbers for you own convenience. It Cost Sony 381 with manufacturing to make a PS4, it cost MS 471. By those estimates, which are probably the best industry, MS is only making $10 more than Sony per console.
-Kinect cost them $75 to make. If you take that away, the PS4 console by it is cheaper to make
-MS sold the Xbox OG at a lost from the beginning, and bigger ones later on. It sold the 360 at lost from the beginning. Sony sold the PS3 at a lost at the beginning. So I don't know what the hell you're talking about.
-The usual strategy is, sell console at lost, make up difference in licensing/3rd party fees.
-You may know "basic business knowledge" but it doesn't seem like you are very knowledgeable about the console business.
Just saying
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A console in each generation becomes cheaper to produce as the years go by.It happened last gen with PS3 and will happen again.
Sony is in better position long term wise for future gens to keep producing consoles.They have other ways of generating revenue with PS+ and eventually PS Now service.
Sony's other places where they were bleeding profit in their TV, Laptop, and PC divisions they have already cut drastically.
Microsoft on the other if the rumors are true could exit the console making business after this gen.Especially if the new CEO wants to sell of the Xbox division and focus more on Microsoft being more a software company again.
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shoelyesses
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what are you talking bout the chart clearly says sony total cost 372...xbox 457.... if sony sells for 400 and xbox sells for 500 microsoft makes more per system then sony does...Ummmmmmm,.
-So the leading research group in this area is wrong, but you some dude on the net is right. Oh ok
-You're switching around the numbers for you own convenience. It Cost Sony 381 with manufacturing to make a PS4, it cost MS 471. By those estimates, which are probably the best industry, MS is only making $10 more than Sony per console.
-Kinect cost them $75 to make. If you take that away, the PS4 console by it is cheaper to make
-MS sold the Xbox OG at a lost from the beginning, and bigger ones later on. It sold the 360 at lost from the beginning. Sony sold the PS3 at a lost at the beginning. So I don't know what the hell you're talking about.
-The usual strategy is, sell console at lost, make up difference in licensing/3rd party fees.
-You may know "basic business knowledge" but it doesn't seem like you are very knowledgeable about the console business.
Just saying
did you even look at the chart.... and again like i said numbers could and probably are inflated... but even with these so called "real numbers" they still make/profit more per system...well atleast they did until the recent slashes...
Which again reinforce my belief cause they never said factually what the cost where they said we based on what we believe parts cost.."estimate" this is what each system would cost each company.... what they believe and what they "estimate" isnt fact, and i personally dont believe is true...
I mean i get what your saying but some stuff you just know... Its like reports (only using it cause of site) nike put out in terms of production cost etc... i know what the reports say etc... but we all know they are fudge and they paying them sweatshop workers pennies to dollars... same thing with walmart and what reports say...
I mean these numbers could be true... But even as the article says... it doesnt say they are. It says based on what they believe parts/components cost... and there best again "estimates"
RustyShackleford
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The new CEO wants MS to be a devices and services company. He is a supporting to Xbox business, so is Gates, and their new Chairman
Xbox isn't going anywhere.
shoelyesses
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it wouldnt surprise me if they did.... i honestly think within the next wave generation.... video game industry is gonna change drastically... Seeing that the leaps in terms of gameplay graphics arent quite as huge as they were in the past... the popularity of cellphone games etc... and just the upcomming generation. I think 10-15 yrs from now the game is totally gonna be different
RustyShackleford
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Ummmmmmm,
-So the leading research group in this area is wrong, but you some dude on the net is right. Oh ok
-You're switching around the numbers for you own convenience. It Cost Sony 381 with manufacturing to make a PS4, it cost MS 471. By those estimates, which are probably the best industry, MS is only making $10 more than Sony per console.
-Kinect cost them $75 to make. If you take that away, the PS4 console by it is cheaper to make
-MS sold the Xbox OG at a lost from the beginning, and bigger ones later on. It sold the 360 at lost from the beginning. Sony sold the PS3 at a lost at the beginning. So I don't know what the hell you're talking about.
-The usual strategy is, sell console at lost, make up difference in licensing/3rd party fees.
-You may know "basic business knowledge" but it doesn't seem like you are very knowledgeable about the console business.
Just saying
what are you talking bout the chart clearly says sony total cost 372...xbox 457.... if sony sells for 400 and xbox sells for 500 microsoft makes more per system then sony does...
did you even look at the chart.... and again like i said numbers could and probably are inflated... but even with these so called "real numbers" they still make/profit more per system...well atleast they did until the recent slashes...
Which again reinforce my belief cause they never said factually what the cost where they said we based on what we believe parts cost.."estimate" this is what each system would cost each company.... what they believe and what they "estimate" isnt fact, and i personally dont believe is true...
I mean i get what your saying but some stuff you just know... Its like reports (only using it cause of site) nike put out in terms of production cost etc... i know what the reports say etc... but we all know they are fudge and they paying them sweatshop workers pennies to dollars... same thing with walmart and what reports say...
I mean these numbers could be true... But even as the article says... it doesnt say they are. It says based on what they believe parts/components cost... and there best again "estimates"
-Please read the numbers on the 4th line.
THAT INCLUDES MANUFACTURING COST. Without that you just have a bunch or parts on a table-Once again they are a research firm who does this for a living. Your defense to their numbers is just "Well I don't believe it" and "I just know" holds even less weight than their numbers.
Add you that you were waaaaaaaaaaaaaaaaay wrong about the selling the console at a lost. I don't know why you just don't tap out and say you could be wrong. Because you probably are
ssjjfar
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It does not say TOTAL COST, it says Total BOM cost. Which is just the cost of materials. And the materials don't magically put themselves together and ship to stores. Which is why they have a manufacturing cost listed as well.
So no its not a $50 vs $18 difference. Its a $28 difference vs $18. So it's $10 more like Rusty said.
And like you said they are estimates, there could be deals in play for Microsoft and/or Sony would could put the prices +/- from what they estimate. The $10 difference is so small, with a manufacturing deal her or there, the difference could actually be more in Microsoft's favor, could be more even, or could actually favor Sony. We don't have exact details from companies, so all we can use is estimates.
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swendro
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Can't win on power, performance, or popularity- lets argue profits!!
shoelyesses
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i just dont buy it espeically seeing different numbers on various sites... including one that states the xbox one has m$ at a billion dollar lost... a BILLION dollars... i mean yea controllers profit from games etc... is a good amount bulk of their money.... But i just refuse to believe they lost a BILLION dollars producing a system and will not only make it up in game/peripherials sales but turn a profit from it. And that is just release losts....
I could even go with hundreds of millions but a billion... nah i think this numbers a fudged...
same with wii u... one site says it cost 228 to make another says 180 another says 150.... i mean they all cane be right?
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RustyShackleford
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swendro
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**** no.
shoelyesses
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http://www.gamespot.com/forums/nint...s-wii-u-basic-set-costs-228-to-make-29368526/
http://techland.time.com/2012/04/09/how-much-for-that-wii-u-in-the-window/
thats a 48 buck discrepancy... I could see a few bucks here and there thats why i take these estimates and "guesses" with a grain of salt.
http://techland.time.com/2012/04/09/how-much-for-that-wii-u-in-the-window/
thats a 48 buck discrepancy... I could see a few bucks here and there thats why i take these estimates and "guesses" with a grain of salt.
RustyShackleford
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Well why write a post then. Because you have no idea what is being discussed.
No one is arguing that MS is profiting more than Sony
RustyShackleford
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shoelyesses
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there both so called reputable sites... with two totally different "estimated" cost... Just like it supposebly cost around 900 bucks to make ps3...when it came out... Im sorry but i wasnt buying that...
then when you take into account the system makes roughly between 10-15 bucks off of each game... plus with analyst saying 2 billion will be lost by m$ this year with an estimate of over a billion to be lost each yr in the future...
I mean if somehow they exit the game...i might be more inclined to believe those figures... But i just cant see m$ taking multi-billion dollar losses every year and saying we will continue to support xbox one and also move forward to make another system.
Graanted there is a lost/cost margin in the early stages of a system...but if the numbers stand true which again i doubt... why are they even in the console business?
RustyShackleford
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-iSuppli isn't some news site, I believe it is the top research firm when it comes to these things. Their estimates are accepted to he the nearest to accurate.
-Show me analyst that say the Xbox division will be a billion a year. Please, just once again my BS meter the going off
-The Xbox division has been making money for s couple years now.
You're making yourself look stupid brah. Please stop
shoelyesses
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http://www.forbes.com/sites/adamhartung/2014/02/18/microsoft-should-give-xbox-one-to-nintendo/
forbes just for one and it states that 360 didnt even really turn a profit and this yr alone will cost m$ 2 billion with being over 1 billion at release and over 1 billion annually...
shoelyesses
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http://www.forbes.com/sites/adamhartung/2013/01/20/sell-microsoft-now-game-over-ballmer-loses/
says m$ lost upwards to 750 mill a yr on 360...So we are to believe either one that they have gone 3 iternerations of systems all at billions of dollars lost yet continue to make game systems... two they will continue to be in the video game industry depsite costing them close to a quarter billion annually... or that these numbers arent exact and they are making some sort of profit.
shoelyesses
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i hear what you saying but im not buying m$ is one gonna continue to make systems/games...or two they have went and created 3 systems to which they lost billions everytime out...
RustyShackleford
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The larger division Xbox is under is losing money. The Xbox console business itself has been profitable for the last couple years.
They lost tons of money on the OG Xbox and the RRoD. So there overall Xbox business for the life of it has lost them money.
Once again, you're doing funny math
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shoelyesses
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After a decade in gaming, where it has never made money, now is the time for Microsoft to recognize it does not know how to profit from its technology – regardless how good.The larger division Xbox is under is losing money. The Xbox console business itself has been profitable for the last couple years.
They lost tons of money on the OG Xbox and the RRoD. So there overall Xbox business for the life of it has lost them money.
Once again, you're doing funny math
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RustyShackleford
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After a decade in gaming, where it has never made money, now is the time for Microsoft to recognize it does not know how to profit from its technology – regardless how good.The larger division Xbox is under is losing money. The Xbox console business itself has been profitable for the last couple years.
They lost tons of money on the OG Xbox and the RRoD. So there overall Xbox business for the life of it has lost them money.
Once again, you're doing funny math
Sony lost tons of money on the PS3 too.
MS loses tons of Windows Phone, Bing and Surface (only recently turned around). While Xbox is currently in the black, so they never made money thing is once again BS
Like Phil Spencer said, MS wants to become a devices and services company, and Xbox is their strongest consumer brand.
It makes sense for them to stick with it.
Stop being a armchair CEO. You're not sounding intelligent, you just sound like a uninformed fanboy
I'm done though. Not point in wasting people's time in this thread with our back and forth about MS
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