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The Omniscient
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Jun 4, 2005, 3:59 AM
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Rumors: PS3 Prices
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Several news sources are reporting that the PS3 may go on sale for the same price that the PlayStation and PS2 launched at, 39,800 yen (about $365 US). The Mainichi Daily News, last Week, cited Sony Computer Entertainment officials stating that the PlayStation 3 would be priced under 50,000 yen ($465 US). This week, however, the Japanese Web site Impress PC Watch claims that Sony has told its business partners that the PS3 will sell for under 40,000 yen ($370 US) at its launch. This news started the speculation that the Sony might launch the PLAYSTATION 3 at the same price it sold the PlayStation and PlayStation 2 at. The PS and PS2 were priced at 39,800 yen ($365 US) at their 1994 and 2000 launches.
Since the Xbox 360 may be released for around 300USD, both consoles are being listed at a far smaller price than originally anticipated, which is good news for all.
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The Omniscient
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Jul 10, 2005, 5:40 AM
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Re: [Mod] Rumors: PS3 Prices too low for Sony?
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Merrill Lynch Japan predicts Sony will lose more than $1 billion on hardware during its next-gen console's first year on the market--a sum it may not be able to recoup. According to the latest issue of Japanese magazine Toyo Keizai, Merrill Lynch Japan Securities has recently calculated an analysis that the production of a single PlayStation 3 console will cost Sony approximately 54,000 yen to make ($494), as of its initial release in 2006.
Merrill Lynch Japan estimates that the machine's main components--namely its Cell chip, RSX, and BD-ROM drive--will cost about 11,000 yen ($101) each. After adding the other electronics that will be used in the PS3, the machine's production cost goes up to 54,000 yen.
Given that Sony's PS3 will face stiff competition from Microsoft's Xbox 360, the chances that Sony will release its console at its production cost is slim. Under the assumption that the Xbox 360 is expected to sell at around $299, Merrill Lynch Japan predicts that Sony will sell each PS3 at the price of 44,800 yen ($410) in Japan and $399 in America. That would mean Sony would suffer a loss of more than 130 billion yen ($1.18 billion) during the first year of the PS3's release.
It is normal for game companies to take a loss on hardware whenever a new console launches, since they typically focus on acquiring market share rather than generating a profit during the first year. During the second year and afterward, they can recover the losses with the savings that come from mass production and with licensing fees from publishers.
However, Merrill Lynch Japan warns that the normal console business cycle may be disrupted if Microsoft cuts the Xbox 360's price when the PlayStation 3 launches. The report goes on to say that such a move could hurt Sony's plans, bringing an additional loss of 80 billion yen ($730 million) in its second year and 50 billion yen ($457 million) in its third year. Thus far, Sony has already invested 200 billion yen ($1.83 billion) into development and production for the Cell chip alone.
The real problem is trying to determine how much the consumer will be willing to pay. Too much and customers will be lost ot cheaper consoles, not enough, and the corporate losses mount.
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The Omniscient
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Jan 14, 2006, 5:07 PM
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Re: [Mod] Rumors: PS3 Prices around 500
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Game Over column on CNN Money shared speculation from next-gen game developers regarding the PS3's price point. One developer went as low as $399, while others theorized that the PS3 would cost closer to $699.
But the column makes a good case for a middle-of-the-road price of $499. It cites American Technology Research analyst P.J. McNealy, who claims that the $499 price is "more likely" than $399. And columnist Chris Morris describes that many of the developers he's spoken to are leaning toward the $499 price.
If the speculation proves to be accurate, and the PS3 sells for $499 come april.
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ruby
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Feb 21, 2006, 5:38 AM
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Re: [Mod] Rumors: PS3 Prices around 900
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So the price is still going up, how high we don't know, and how much the consumer will pay is a mystery. We do know a rough ball park figure about how much Sony will pay to produce the PS3:
According to the report, Sony will spend roughly $800 per PS3 unit manufactured. Three years from now, that number is predicted to dip to $320. Pricey components such as the Cell processor and, particularly, the Blu-ray optical drive, are the key offenders in boosting the PS3 price.
Also, note that this bill of materials is further proof that the PS3 won't ship with a hard drive. Nonetheless, the article concludes that Sony is aware of the PS3's high expense, and may shy away from enormous production until it can recoup some of its costs. In order to minimize initial costs, Lynch predicts that Sony will manufacture just two to three million PS3s in its first year.
Apparently Sony won't be able to affordly conduct massive-scale manufacture of the PS3 until 2007, when Blu-ray drives and Cell processors begin to benefit from economy of scale on the production front.
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Barry
Mr. Do It All
Apr 15, 2006, 8:44 AM
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An Sony reportedly told a French radio station that the PS3 would list at 499 to 599 euros, which translates to some $600 to $750. That's considerably more than Microsoft's
Xbox 360 console, which sells in the $300 to $400 range.
Sony clarified that estimate, saying the figures given were for a Blu-Ray high-definition video player, and were in U.S. dollars, not euros. Those numbers might make more sense, given that Blu-Ray players are expected to sell in the $500 to $1,500 range. Analysts think Sony will sell the PS3 for no more than $500 in an effort to remain competitive with the Xbox 360 and Nintendo's forthcoming Revolution gaming console, although the price could be as high as $800 at launch and drop thereafter.
While that's a lot of money, Sony contends that its latest console will do a lot more than play games. The device is being touted as an all-in-one home-entertainment hub that is powered by the supercomputer-grade Cell processor and the next-generation Blu-Ray disc technology. Moreover, Sony plans to introduce a MySpace-like online-gaming service when the console goes on sale in November. New and good games will be the key for their (Sony's) success.
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devmod
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May 14, 2006, 8:20 PM
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PLAYSTATION 3 LAUNCHES ON NOVEMBER 17, 2006 IN NORTH AMERICA
Equipped with Blu-ray and Pre-Installed HDD
United States: US $499 (20GB HDD) and US $599 (60GB HDD)
Canada: CAN $549 (20GB HDD) and CAN $659 (60GB HDD)
Sony announced that it would launch PLAYSTATION 3 in “Clear Black� in North America on November 17, 2006, as part of a worldwide simultaneous launch.
PS3 is the most advanced computer system that serves as a platform to enjoy next generation computer entertainment contents in the home, realized through the combination of Cell and RSX processors, in addition to the playability of a vast catalog of PlayStation and PlayStation 2 software titles.
Having Giga-bit Ethernet and a pre-installed hard disk drive (HDD) as standard in PS3, users will be able to download a variety of contents as well as access on-line games and services over the network.
Equipped with basic input/output ports, PS3 supports a broad range of displays from conventional NTSC/PAL standard TVs to the latest full HD (1080i/1080p) flat panel displays, offering the joy of the most advanced computer entertainment contents to homes around the world. For use in living rooms, maximum heat and noise reduction has been achieved with a noise level equivalent to that of the current slim-line PlayStation 2.
With the overwhelming computational power of the Cell processor, PS3 is capable of playing back content from Blu-ray (BD) disc at a bit rate of multiplex 48Mbps with ease, the maximum bit rate defined in BD standards.
The new controller for PS3 has been created by refining and improving the world’s most popular PlayStation controller which has shipped more than several hundred million units worldwide. The controller for PS3 employs a high-precision, highly sensitive six-axis sensing system that is capable of processing all parameters within the controller itself, thereby eliminating the need for any additional settings on the display system. By applying this technology, it will become possible to freely control the PS3 system over the network.
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gamingmom24
Novice
May 30, 2006, 10:14 PM
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Wow there is a big gap in numbers here. I have heard thing all over the board as far a price. I belive that I will be springing for the cheaper of the two versions as I already have most of the things that the more expensive version will be offering. I just can't wait until this hits the shelves, I am not looking forward to the camping out but oh well desperate times call for desperate measures right?
gamingmom
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lpstong
Novice
Sep 9, 2006, 7:15 PM
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This is the information I have been getting and reading up on. I knew the realese date was to be in November of this year. But I didnt quite know the exact date.
I am sure they will be selling like hot cakes due to the christmas season.
As far as the price drop. All the gaming consoles always have a price drop about 9 to 12 months after realese. I also know from the past that Sony PS seem to slim down their consoles as well. They did it with PS1 and the 2 as well when they did a the price drop. I wonder if they will slim down the PS3 as well or if they can because of all the new tech an features on it.
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