hesido
Regular
Maybe the price increase is because of massive RAM shipments to console makers, so foundries can't produce as many units for the retail? I think I'm stretching it
PS4 initial cost analysis
- Thread starter Hardknock
- Start date
Maybe the price increase is because of massive RAM shipments to console makers, so foundries can't produce as many units for the retail? I think I'm stretching it
Maybe the price increase is because of massive RAM shipments to console makers, so foundries can't produce as many units for the retail? I think I'm stretching it
Or the fact that Microsoft is asking for so much memory is what's causing the increased price of RAM in the first place. Chicken and egg scenario. Like I said before, there is no doubt Microsoft is getting its DDR3 RAM at a lower price than retail, that's the entire point of a contract.
D
Deleted member 7537
Guest
So you add in retailer cut, R&D costs, and other small stuff and they are probably losing $50-70. A far cry from the $240 to $300 from the PS3.
Have we seen a similar breakdown for the Xbox One? Since I doubt Kinect actually costs $100 and 8GB DDR3 RAM should be far cheaper than the 4Gb GDDR5 chips Sony is using, could it be that Microsoft is actually overall profitable just by selling the console? That would be a real flip considering Nintendo is the only other OEM to ever do that (and the Wii U was selling for a loss as well).
Silent_Buddha
Legend
Eh? Their math doesn't add up.
They go from
To
When this is added?
That should be total estimated system cost of: 347-474 (I'm assuming USD?). I guess they are just assuming it'll be somewhere in the middle and lopped off 44 USD at the top and added 43 USD at the bottom? In that case, why even bother with the ranges in the first place.
All sounds like purely guesswork, and using guessed at numbers per part to make it more believable. In other words, feel free to come up with your own numbers for things and it'll likely be just as accurate.
Also, no cost estimate for the case? That's lumped in with other? Such a small number to be inclusive of the case itself? What about the PCB mainboard? Is that lumped In with "other" as well? That other number is definitely looking to be too small.
Regards,
SB
Eh? Their math doesn't add up.
They go from
To
When this is added?
That should be total estimated system cost of: 347-474 (I'm assuming USD?). I guess they are just assuming it'll be somewhere in the middle and lopped off 44 USD at the top and added 43 USD at the bottom? In that case, why even bother with the ranges in the first place.
All sounds like purely guesswork, and using guessed at numbers per part to make it more believable. In other words, feel free to come up with your own numbers for things and it'll likely be just as accurate.
Also, no cost estimate for the case? That's lumped in with other? Such a small number to be inclusive of the case itself? What about the PCB mainboard? Is that lumped In with "other" as well? That other number is definitely looking to be too small.
Regards,
SB
The order of the numbers is clear, just combining two steps, final parts total plus packing and shipping. The OT describes who he works for and how they come to the numbers. This is what he does for a living and is far from guesswork. They are estimates, that he says. But it is his group at the bank that does this for all major electronics to try to see how quarterly earnings and thus stock prices are hurt/helped by cost vs MSRP.