PS3 in a Death Spiral

BlueCollar said:
Well Sony has declared rumble functionality a "last generation" feature

http://www.1up.com/do/newsStory?cId=3157501

Riiiiiiight....
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Hehheheehe...I was actually thinking about that.....Yesterday was playing a bit of Zelda and realised that I didnt even notice when the controller rumbles, I mean I notice but its on a subconscious level. the rumble gives you a cues, like sometimes it rumbles and you know there is somethign in the area that needs closer investigation. its serves are force feedback, so I thought...does force feedback make that big a difference so I turned it off. I notived that even more!!!! rumbling is a small thing but it makes a BIG difference.
 
Retro said:
Are you serious??? Do you actually believe that or are you just typing anything that comes into your head?

The original Xbox was sold at a loss and also the 360. Everybody knows that! Oh, except you...
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What he is trying to say is that given MS's 1 year lead in sorting problems out, it 's finally got production costs down and analysts are agreeing that MS is making a profit off the 360. This plays straight into MS's hands because it gives them room to lower the price of the 360 which I think is imminent once the PS3 is released. Sony cannot do that. They are already losing $250+ dollars per console and cannot afford more losses.
 
derekc said:
Well that's why XBOX 360 came out with an external HD-DVD drive. If HD-DVD fails, they change to Blu-Ray. Still offers the same HD functionality without changing the design of the console. If Sony would change their Blu-Ray to DVD then it will cost them a lot of money to change it. MS basically offers an option to choose; PS3 forces the format on you.

The PS3 will really only become a good console in around 3 years time when developers actually know how to program effectively for the Cell CPU and costs of developing software for the PS3 is lowered. Unfortunately by the time, the next gen of consoles by Nintendo and MS will be out which will prob be superior than the PS3.
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Doubt it, its a market Micro crap cant win very easily.
 
It's a market where ppl can't afford a R6500k machine. that's basicaly some ppl's monthly salary before tax.
 
derekc said:
What he is trying to say is that given MS's 1 year lead in sorting problems out, it 's finally got production costs down and analysts are agreeing that MS is making a profit off the 360.
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Maybe you should contact MS and tell them, they don't seem to know it yet.

February 15, 2007
The company posted a loss in its consumer electronics division (that includes both the 360 and the Zune media player) for the December quarter.
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Retro said:
The original Xbox was sold at a loss and also the 360. Everybody knows that! Oh, except you...
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Whoops :)... You are obviously the only one who doesn't know that M$ is making a profit of every console sold.

Microsoft has been making profit on Xbx 360 units since October. They make about $75 bucks on each unit now. Robbie Bach confirmed it himself in an interview.
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Anyway back to the point....

Gamasutra has published an article saying that the PS3 will be winning in 2010 overall yet losing in the states...

http://www.gamasutra.com/php-bin/news_index.php?story=12890

They have the Wii coming in a distant third which I find quite strange though...

I saw someone mention earlier that Sony might not be able to afford the software development?

The report notes that Sony's Worldwide Studios employ around 2,200 staff in 14 studios, all but one, it notes, are strictly devoted to PlayStation 3 development, a number only rivaled by third party publishers like Ubisoft and Electronic Arts.
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So they are going to get games. That is guaranteed.
 
Retro said:
Can you say google? It's fun just making statements for the fun of it isn't it?
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Dude can you read the dates on the articles you are posting??

Microsoft makes tiny profit on Xbox 360 hardware
By Justin Mann, TechSpot.com
Published: November 20, 2006, 4:21 PM EST


Through reduction in manufacturing costs, Microsoft has managed to bring the cost of the Xbox 360 to a zero loss, if not a slight profit. With a reduction in manufacturing costs by nearly 40% since the console's release and perhaps streamlining of the process and bulkier orders, a $399 pricetag now nets Microsoft $75.70 – before the unit has been shipped however. While Microsoft themselves haven't announced whether or not they plan a price drop, this will definitely give them leverage in the console wars if they wish to make the console cheaper.

While they can't beat the Wii on price, they have a huge price advantage over Sony, which may be a key factor in determining supply and customer cost.
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http://www.techspot.com/news/23612-microsoft-makes-tiny-profit-on-xbox-360-hardware.html

:rolleyes: Google is your friend :rolleyes:
 
owned :)

EDIT:

Retro dude, read your own post.....

February 15, 2007
The company posted a loss in its consumer electronics division (that includes both the 360 and the Zune media player) for the December quarter.
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Microsoft posted a loss on it's consumer electronics division, how many consumer electronics do you think this includes? The XBOX 360 makes a profit, which is more than likely negated by some other crap Microsoft is trying to sell. Like, oh I don't know, mouses, keyboards, joysticks etc. ;)
 
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Retro said:
Scroll a bit up and you'll see the date... 15 February 2007
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Sorry I didn't think I needed to explain the difference between making a profit on the Xbox 360 console and making a profit for an entire entertainment division including marketing, games, the Zune and all the rest of the things they do.

Let me know if you would like a clearer explanation of the differences :D :rolleyes:
 
GavinMannion said:
Sorry I didn't think I needed to explain the difference between making a profit on the Xbox 360 console and making a profit for an entire entertainment division including marketing, games, the Zune and all the rest of the things they do.

Let me know if you would like a clearer explanation of the differences :D :rolleyes:
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Ok, here it is for JUST the 360. From Business Week, not just some independent analyst...

An up-close look at the components and other materials used in the high-end version of the Xbox 360, which contains a hard drive, found that the materials inside the unit cost Microsoft $470 before assembly. The console sells at retail for $399, meaning a loss of $71 per unit -- and that is just the start.

Other items packaged with the console -- including the power supply, cables, and controllers -- add another $55 to Microsoft's cost, pushing the loss per unit to $126. These estimates include assumptions that Microsoft is getting a discount on many components.

That was the case with the first Xbox console, which contained about $323 worth of parts and materials when released, but sold at retail for $299. It's certainly not going to help Microsoft reverse the trend of losses in its home-entertainment segment. In the fiscal year ended June 30, that unit lost $391 million on sales just shy of $3.25 billion. That's a little more than 8% of Microsoft's total sales of $39.8 billion.
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http://www.businessweek.com/technology/content/nov2005/tc20051122_410710.htm
 
Retro said:
Ok, here it is for JUST the 360. From Business Week, not just some independent analyst...
http://www.businessweek.com/technology/content/nov2005/tc20051122_410710.htm
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Are you completely illiterate or just plain trolling????

NOVEMBER 22, 2005
News Analysis
By Arik Hesseldahl

Microsoft's Red-Ink Game
Redmond will sell every Xbox console at a big loss, says researcher iSuppli. Not to worry, the profit is in the associated software
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Posting an article dated 1 year earlier as a rebuttal is just... just.... Man I just don't know what to say...

Now stop it unless you have a valid point to backup the facts that have been posted..... M$ is making a profit on every 360 sold.
 
:confused:

Ok I quit you are obviously completely incapable of noticing the difference between hardware costs for a console and an entire department that encompasses multiple devices.

I thought we where having an intelligent conversation but you seem to have woken up this morning and left your brain on your bed stand

Toxin said:
Bwuhahaha!! Beat you to it Gavin.
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yeah I was stupidly trying to put some logic and facts into my response :p... wasted my time in the end.
 
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