The PS3 might be expensive for SONY: "

Source : http://www.gamekult.com

According to a Japanese newspaper, the PS3 might cost quite some money to SONY, especially for its official launch. Indeed, the original target price was 337Euros in Japan, but the real cost could be 70Euro higher. The reason is linked to the price of high-tech or high-end components such the Cell processor and the Blu-Ray drive.

A projection is evaluating the deficit for the first year to almost 1 billion Euros.

Game console are systematically sold to their production price or even lower (so no profit), manufacturers earn money thanks to game licenses, then later on to the decrease of components price due to large volume productions and availability. For example, the PIII in the current Xbox3 is not costing more than its current production cost.

However, the competition with the Xbox360 could challenge the financial plan built by Sony for its PS3 launch.

For sure, end-users, the customers, will profit from this already announced price fight between the future next generation game consoles. Evaluating the price of the game for each console will also later on give information regarding the price that game developers will have to pay to get a license.




[translation by Eric]"

(Via HardMac.com.)