Sony's Hirai: optimistic with PS3 profits as component costs decline |
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With the costs for the parts of the PlayStation 3 significantly dropping, Sony's Kazuo "Kaz" Hirai is looking to turn this into an advantage for the company by concentrating on raising profits as soon as the new fiscal year starts.This was announced after determining the holiday sales for the PS3. Sony tallied the sales of the console with 1.2 million units sold in North America, two-thirds of what it sold in 2007.
While its overall sales still dwarf the other consoles, Kaz says that profitability will hopefully occur once new games come out for the console and component prices decline. He explained his optimism by saying:
Component costs are coming down, and (regarding) the number of components... we are seeing a reduction. The 40 gigabyte PlayStation 3 obviously has fewer components (than more powerful models), and uses less power, which means that components required to dissipate heat, for example, can be smaller, so there is some cost reduction there.
We'll just have to wait and see if this indeed spells an improvement for Sony's gaming platform and gaming division in the coming year.
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Comments [refresh]
They need to lower the prices of the ps3 even the $399 version still a little bit too much for me. But hey if they can get it to $250 like when the psp first came out I will buy it then =)
Some people are never happy. They could lower the price to $99 and you'd still complain.
I really don't see much of a price drop until the cost of the console gets closer or under the price Sony gets. (Remember, the store price also includes distribution fees, small mark-up for the vendor, etc. With shipping costs going up due to fuel prices rising, one may offset the other...)
That said, I'm glad for Sony that they won't hemorrhage as money on each console sale. It might translate faster into lower game prices before lower console prices. (Since I already own the console, I'm all for lower game prices...)
But this is all speculation. Take it for what it is.
Don't think this will bring about a price cut. By saying they're going to be more profitable by the component prices going down tells us that. Sony right now is and always will be concerned with themselves in regards to making money. Expect MAYBE $20 off, $50 at the very most. But until they at least break even with production costs, we wont be seeing any significant price reduction.
Does anybody complaining about price realize $400 is what Wiis are selling for?
do you know how much a Wii costs??? do you know what a PS3 does and what a Wii does???
then just shut your mouth if you don't...
*****in' cheap ass bastard.
you know thats what other people sell it for not nintendo
In places where the Wii supply is very limited yes. But other than that non that im aware of.