justin0469 Posted December 10, 2009 Report Share Posted December 10, 2009 I dont know if these take into account value or software and programming or time to assemble or anything like thathttp://blog.ziggytek.com/2009/07/05/actual-cost-of-popular-gadgets-to-make/ Actual Cost To Make Popular Gadgets KashemMiah on Sunday, July 5, 2009 10:59PM The cost of some of the most popular electronics in the world have now been reported by BusinessWeek. The list includes such devices as the Apple iPhone, Amazon Kindle 2, and Sony Playstation 3. The game components are cheaper now that it’s been a few years but at the same time, the consoles have been getting price cuts over the years. (More details and prices after the break) - Apple iPhone 3GS Retail Price: $299 and $399 without 2-year contract Cost of Components: $179.16 - Palm Pre Retail Price: $199.99 after Mail-in Rebate Cost of Components: $137.83 - Amazon Kindle 2 Retail Price: $359 Cost of Components: $185.49 - RIM Blackberry Storm Retail Price: $249 Cost of Components: $202.89 - Pod Touch (1st Generation) Retail Price: $299 (8GB), $399 (16GB) Cost of Components: $147 (8GB), $179 (16GB) - Microsoft Xbox 360Retail Price: #399 Cost of Components: $470 Microsoft was willing to take a loss on the hardware for long term gains. - Sony Playstation 3 Retail Price: Original price $599 (60GB), $499 (20GB) Cost of Components:$840 (60GB), $805 (20GB) Sony had the same business model as Microsoft, hoping to make long term gains. Quote Link to comment Share on other sites More sharing options...
V4junkie Posted December 10, 2009 Report Share Posted December 10, 2009 I knew about the Ps3, but the 360 too! Niiiiiice. Quote Link to comment Share on other sites More sharing options...
kawi kid Posted December 10, 2009 Report Share Posted December 10, 2009 wow the ps3 lose is crazy!! Quote Link to comment Share on other sites More sharing options...
that dude Posted December 11, 2009 Report Share Posted December 11, 2009 im calling bullshit Quote Link to comment Share on other sites More sharing options...
natedogg624 Posted December 11, 2009 Report Share Posted December 11, 2009 im calling your bullshit bullshit. Quote Link to comment Share on other sites More sharing options...
that dude Posted December 11, 2009 Report Share Posted December 11, 2009 (edited) im calling your bullshit bullshit.[/qyeahbullshit Edited December 11, 2009 by that dude Quote Link to comment Share on other sites More sharing options...
Likwid Posted December 11, 2009 Report Share Posted December 11, 2009 Sony put a lot of eggs into the PS3... Microsoft is taking a HUGE hit because of the HD-DVD fiasco Quote Link to comment Share on other sites More sharing options...
V4junkie Posted December 11, 2009 Report Share Posted December 11, 2009 I agree to a degree, though the Xbox itself never ran HD DvD's. It used a peripheral that was an external DVD drive. For example:http://www.google.com/products/catalog?hl=en&q=xbox+hd+dvd+player&um=1&ie=UTF-8&cid=16558594778280091397&ei=fzgiS7CjN5CXtgfS8cHnBw&sa=X&oi=product_catalog_result&ct=result&resnum=1&ved=0CBMQ8wIwAA#ps-sellersSo theoretically, I can't imagine why they wouldn't try the same thing for an external Blu-Ray player. I'd be all over that. Of course that wouldn't be included in the original package like the Ps3, which has a reference quality player built in. So, yeah, advantage Sony. I think I just argued with myself. I need some coffee. Quote Link to comment Share on other sites More sharing options...
jporter12 Posted December 11, 2009 Report Share Posted December 11, 2009 Oh, I totally believe the costs on the gaming systems. I'm not sure that the retailers even make much on them. They make up for it in games, and licensing, etc... This happens in many businesses these days. As an example, the auto shop I work for, we do oil changes and tires, but neither makes much, if any money for the business. It's done as a convenience for our regular customers, and to drive more business by seeing other things and making recommendations based on what we see while we're under the hood. It's not just our shop, that's any shop, even the lube shop on the corner, they all sell "premium" services.I have a friend that runs a video trader type of business and he can't get them any cheaper than just buying at retail, and he can't sell them for profit, so just to have them he'll buy gift cards from Giant Eagle, use that to buy the game systems, then reap the fuel rewards! Quote Link to comment Share on other sites More sharing options...
fusion Posted December 11, 2009 Report Share Posted December 11, 2009 I'm lazy and didn't read the article, but is EVERYTHING included in the component cost? R&D, updates, marketing, coding.... Not just the actual hardware bits. Quote Link to comment Share on other sites More sharing options...
jporter12 Posted December 11, 2009 Report Share Posted December 11, 2009 I'm lazy and didn't read the article, but is EVERYTHING included in the component cost? R&D, updates, marketing, coding.... Not just the actual hardware bits.Most of the time when I've seen something like this, it's been JUST the hardware pieces. Quote Link to comment Share on other sites More sharing options...
gixxie750 Posted December 11, 2009 Report Share Posted December 11, 2009 its hard for me to believe that they would sell the ps3 at a $400 loss. How does that ever help them? Quote Link to comment Share on other sites More sharing options...
Casper Posted December 11, 2009 Report Share Posted December 11, 2009 its hard for me to believe that they would sell the ps3 at a $400 loss. How does that ever help them?Because games they sell for $60~ cost roughly $1 per disk to make.IE: You write a video game. Microsoft buys it from you for $1MIL. They sell the game for $50. They sell 1MIL copies. That's $50MIL dollars, $49MIL profit. Just an example. Not completely realistic numbers. Get the game systems out there cheap and make money on the games. Computers are sold in much the same way. Best Buy often sells PCs at a loss. But they make a HUGE profit on accessories, software, service plans, etc. Quote Link to comment Share on other sites More sharing options...
gixxie750 Posted December 11, 2009 Report Share Posted December 11, 2009 I get it now lol. That can work out then. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.