Are all current consoles sold with loss?

PC-Engine said:
Not sure what your arguing here, but the key phrase is *long time ago*...
...a year and a half ago? Already well into the Cube's lifespan?

My point of the statement was merely to classify that the $99 drop forced them into a loss, not to specify a dollar sign attached to that loss. The particulars would still be undetermined, but said relative extra factors would be about even between all the consoles concerning their profit/loss-per-console as well. Hence if they PSTwo was set to still be profitable at $99, chances are its construction cost would be less than the Cube's as well. (Provided, of course, that the Cube's cost hasn't gone down itself.)

That's also why I was asking Sonic what information he had and/or what had changed since 2004. You know, that long time ago.

And that's been argued ad nauseum already. Inhouse isn't always cheaper than outsourcing and vice versa so there's really no point in going there again.
...but two components make it obviously more expensive despite not knowing who's worked out what deals with whom? You do recall my whole comments, "in house" being only one of them, concluded with us not being able to be certain of anything, since we're not privy to these companies' financial wranglings, and they're notoriously tight-lipped about it most of the time?

Why is it so hard to believe that GCN with only two chips costs more than PSTwo to manufacture? Because it's being outsourced? :LOL:
It's not hard to believe, numbnut, but it certainly seems impossible for you to believe the opposite, so I guess your disparaging comments should instead be directed inward?

I explained myself pretty completely, and since we have scant information to go on, we basically have to build all of our guesswork and estimation off the scant information we get. Frankly I'm surprised we actually got a comment like that from a Nintendo exec, or I'd still be doing a lot more guessing about the Cube. ;) For the PS2, one can mainly put together profit comments from their annual statements and estimating from there. For myself, I've also been throwing out my expectations as regards their future business plan as well.

But here I am forgetting that slim DVD drives instantly more than cancel out any other cost benefits, and that one doesn't really have to look at anything else at all, because the sum total of an entire system can be instantly revealed by that! And maybe something else, but who cares? Done and done!

Or wait, perhaps that's why I don't present my conjecture as matters others would be idiots to disagree with, and actually ask questions and want to track down what information is available out there?

:LOL: Oh, and lest I forget, let me cover up any harsh or pointless comments with a few laughing smileys so that people know I am just a nice man with happy feelings all of the time! :LOL: You know, so anyone who might take issue with me is shown to be a grumpy ol' sourpuss and totally off their rocker. :LOL:
 
I have seen the new slim PS2 for 89$ wholesale. There is a ton of markup in retail. Almost a standard 50% to begin with.
 
digitalwanderer said:
karlotta said:
yes
when you see the cost at a retail shop, they ( retail shop ) make (typical) 40% mark up. Do the math.
40%? Really? Jeeze, I had no idea it was that high! :oops:

:LOL: :LOL:

Try 5-7%. Retailers put up with it to get the software sales. Otherwise, they wouldn't mind not being in the hardware business.

Also, the PS2 costs less than the Gamecube to produce. CPU & Processor integrated onto one chip that they produce inhouse, the scales of economy after shipping 87M+ units, and the PSTwo redesign have drastically lowered the cost.

Actually, it's been lower cost for quite a while.
 
It's not hard to believe, numbnut, but it certainly seems impossible for you to believe the opposite, so I guess your disparaging comments should instead be directed inward?

What's enough information for me to formulate a guess might not be enough for others. That's why you have people working in a certaing field that can simply make better educated guesses than others that aren't in that same field. That's life deal with it. ;) :LOL:

Also, the PS2 costs less than the Gamecube to produce. CPU & Processor integrated onto one chip that they produce inhouse, the scales of economy after shipping 87M+ units, and the PSTwo redesign have drastically lowered the cost.

Actually, it's been lower cost for quite a while.

Yes because we all know the total cost of a console hinges on the CPU and Processor and nothing else. :oops:
 
sonycowboy said:
digitalwanderer said:
karlotta said:
yes
when you see the cost at a retail shop, they ( retail shop ) make (typical) 40% mark up. Do the math.
40%? Really? Jeeze, I had no idea it was that high! :oops:

:LOL: :LOL:

Try 5-7%. Retailers put up with it to get the software sales. Otherwise, they wouldn't mind not being in the hardware business.

Also, the PS2 costs less than the Gamecube to produce. CPU & Processor integrated onto one chip that they produce inhouse, the scales of economy after shipping 87M+ units, and the PSTwo redesign have drastically lowered the cost.

Actually, it's been lower cost for quite a while.
PS2 Slim
89$ wholesale (Im sure Best Buy/Walmart get it cheaper)
149.99 retail

68% markup right there.

Granted, some mom & pop stores are not getting it that cheap, but even I know can get it for that.

Most retail is a 20% minimum, 80% maximum markup. Stores make money even on closeout prices.
 
Magnum PI said:
here the reseller make something near to nothing in margin.

but the state makes a 19,6 % margin (VAT)
Can you quote a wholesale price?. funny debating costs between USA, UK,Europe..ect, japan.
I live in oregon and have no sales tax at all.
It realy cant be 7% on hardware, unless the whole channel to consumer is taxed at every turn, and cant be pushed forward to the consumer. What do get for all that tax? free cold meds?
 
karlotta said:
Magnum PI said:
here the reseller make something near to nothing in margin.

but the state makes a 19,6 % margin (VAT)
Can you quote a wholesale price?. funny debating costs between USA, UK,Europe..ect, japan.
I live in oregon and have no sales tax at all.
It realy cant be 7% on hardware, unless the whole channel to consumer is taxed at every turn, and cant be pushed forward to the consumer. What do get for all that tax? free cold meds?

15lb burgers at the price of a BigMac.
 
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