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Sony to lose money on every Slim PS3 sold

According to Sony America President Kaz Hirai, the company is set to take a loss on every Slim PS3 unit sold.

The console was launched last week after months of speculation, and will hit on September 1st with a pricetag of $299 USD/ 299 EU/ £249 / 29,980 YEN.



"If you're just talking about the hardware alone, the quick answer is yes," Hirai added, via the Times Online.

He did note afterwards however: "That makes good headlines, but I don't actually know that that's the true nature of the business that we're all in, whether it's PlayStation, Xbox or the Wii. I think the better indicator is to look at the business as a whole platform, to ask: are you profitable in terms of the hardware, software and peripherals. And the answer to that question is yes on a gross profit level since the last fiscal year."

Written by: Andre Yoskowitz @ 25 Aug 2009 15:22

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• 17 comments

• Tristan_2

  Sony Sony Sony-sighs- You will not lose money from every unit sold...thats like saying the same to the original model....god Sony is really starting to irritate me...are they saying this just cuz they lost a lawsuit?

  25.8.2009 16:31 #1

• glassd

  Don’t hold out on us Tristin. Give us the parts breakdown and cost per part + Manufacturing cost.

  25.8.2009 16:45 #2

• ZippyDSM

  Meh its the nature of console war model to lose on the hardware to drive sales to reap rewards down the line...it seems to me sony and even MS have forgotten the basics....

  25.8.2009 17:08 #3

• chris4160

  I am deeply sorry for my actions, I was out of place and I hope you accept my sincere apology.

  25.8.2009 20:52 #4

• canuckerz

  Originally posted by Tristan_2: Sony Sony Sony-sighs- You will not lose money from every unit sold...thats like saying the same to the original model....god Sony is really starting to irritate me...are they saying this just cuz they lost a lawsuit?*rolls eyes*
  
  Originally posted by chris4160: The last refuge of a dying platform, kind of pathetic seeing though next gen estimation is 6 years away. One has to ask how long will it be until sony bites the bullet and releases a ps4...
  
  Btw good luck trying to sell the slim, sony cut out the best features (glossy exterior, linux). The price is good, but with the elite set to drop to $299 can the slim hold off...The elite never should have been that high of a price in the first place as its just a regular 360 painted black with a 120gig HDD. Granted the price to buy the HDD separately is stupidly high but that doesn't justify the "elite" costing that much more for so long.
  
  I'm not even going to bother writing a proper response to the whole dieing console part as it doesn't deserve one.

  26.8.2009 00:08 #5

• ZippyDSM

  Quote:Originally posted by Tristan_2: Sony Sony Sony-sighs- You will not lose money from every unit sold...thats like saying the same to the original model....god Sony is really starting to irritate me...are they saying this just cuz they lost a lawsuit?*rolls eyes*
  
  Originally posted by chris4160: The last refuge of a dying platform, kind of pathetic seeing though next gen estimation is 6 years away. One has to ask how long will it be until sony bites the bullet and releases a ps4...
  
  Btw good luck trying to sell the slim, sony cut out the best features (glossy exterior, linux). The price is good, but with the elite set to drop to $299 can the slim hold off...The elite never should have been that high of a price in the first place as its just a regular 360 painted black with a 120gig HDD. Granted the price to buy the HDD separately is stupidly high but that doesn't justify the "elite" costing that much more for so long.
  
  I'm not even going to bother writing a response to the whole dieing console part, but I will say I did a double take when I saw you were a senior member.The 120GB HDDs are under 100 bucks in some places.
  
  MS has been trying to gain a profit on all the 360 extras live,the HDDs,ect they can't afford to not make them cheaper since they need that extra profit to pay for the easy break oven issues.
  
  Still if they fixed them in the first place and made the base unit price 200$ from the start the 360 would have done alot better... even to the point live would be free now.....

  26.8.2009 01:09 #6

• chris4160

  I am deeply sorry for my actions, I was out of place and I hope you accept my sincere apology.

  26.8.2009 01:22 #7

• CrisKahn2

  Quote:MS has been trying to gain a profit on all the 360 extras live,the HDDs,ect they can't afford to not make them cheaper since they need that extra profit to pay for the easy break oven issues.
  
  Still if they fixed them in the first place and made the base unit price 200$ from the start the 360 would have done alot better... even to the point live would be free now..... Microsoft has spent over a billion dollars dealing with the RROD issues...thats what they get for trying to rush the launch of a console.

  26.8.2009 05:09 #8

• KillerBug

  "Psn is free and it shows. Xbox live has constant updates and exclusive demo's"
  
  Yes, there are a lot more players online with PSN because they do not have to pay for the multiplayer modes built into the software that they also have to pay for. Also, PSN is not free...most things on PSN cost money, it's just the online play & some demos that are free. It's horrible that microsoft would make people pay them for the privelage of using their games on their console to play online over their internet connection. Also, PSN is frequently updated, and has exclusive demos as well as exclusive full-length games. The only thing they do not have (that I want) is GTA DLC's...and that is the fault of Rockstar games, not sony.

  26.8.2009 06:20 #9

• pphoenix

  Originally posted by ZippyDSM: Meh its the nature of console war model to lose on the hardware to drive sales to reap rewards down the line...it seems to me sony and even MS have forgotten the basics....its more free advertising though Zippy, lets all give Sony a big "awww" poor them losing money on every unit, didn't they say teh other week that costs to build have fallen sharply?

  26.8.2009 07:34 #10

• DVDBack23

  Originally posted by chris4160: The last refuge of a dying platform, kind of pathetic seeing though next gen estimation is 6 years away. One has to ask how long will it be until sony bites the bullet and releases a ps4...
  
  Btw good luck trying to sell the slim, sony cut out the best features (glossy exterior, linux). The price is good, but with the elite set to drop to $299 can the slim hold off...Everything said here is far and away the biggest fanboy statement I've read on AD in some time.

  26.8.2009 10:55 #11

• canuckerz

  Quote:Originally posted by ZippyDSM: Meh its the nature of console war model to lose on the hardware to drive sales to reap rewards down the line...it seems to me sony and even MS have forgotten the basics....its more free advertising though Zippy, lets all give Sony a big "awww" poor them losing money on every unit, didn't they say teh other week that costs to build have fallen sharply?Fallen sharply on the hardware for the phat PS3 components, not the more compact components of the slim combined with the price drop.
  
  Anyone have any idea what processor the slim is using?

  26.8.2009 16:58 #12

• Oner

  Same as before (Cell) but a 45nm manufactured one.
  

  
  
  Search > http://forums.afterdawn.com/search
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  26.8.2009 18:46 #13

• Gnawnivek

  Originally posted by chris4160: The last refuge of a dying platform, kind of pathetic seeing though next gen estimation is 6 years away. One has to ask how long will it be until sony bites the bullet and releases a ps4...
  
  Btw good luck trying to sell the slim, sony cut out the best features (glossy exterior, linux). The price is good, but with the elite set to drop to $299 can the slim hold off...What? Since when do glossy exterior and linux OS on the PS3 become best features?

  28.8.2009 14:09 #14

• xnonsuchx

  Quote:Originally posted by chris4160: The last refuge of a dying platform, kind of pathetic seeing though next gen estimation is 6 years away. One has to ask how long will it be until sony bites the bullet and releases a ps4...
  
  Btw good luck trying to sell the slim, sony cut out the best features (glossy exterior, linux). The price is good, but with the elite set to drop to $299 can the slim hold off...What? Since when do glossy exterior and linux OS on the PS3 become best features?Some just have to grasp at SOMETHING to criticize when they've lost on other aspects.

  28.8.2009 15:44 #15

• pphoenix

  Quote:Quote:Originally posted by chris4160: The last refuge of a dying platform, kind of pathetic seeing though next gen estimation is 6 years away. One has to ask how long will it be until sony bites the bullet and releases a ps4...
  
  Btw good luck trying to sell the slim, sony cut out the best features (glossy exterior, linux). The price is good, but with the elite set to drop to $299 can the slim hold off...What? Since when do glossy exterior and linux OS on the PS3 become best features?Some just have to grasp at SOMETHING to criticize when they've lost on other aspects.like removing backwards compatibility?
  
  because people do not play "old games" as sony puts it. i mean nobody plays counterstrike source, or wow for instance! or who would think of playing final fantasy 7, wait a sec didn't they re-release that last year or ff10. and grand theft auto: san andreas is totally not ever worth playing, well unless any PS2 titles get re-released on PSN then sony is sure to hype "the next best thing" as per usual!
  
  imho the onions take is quite possible the best ever.

  28.8.2009 16:51 #16

• Oner

  And a second thread that is being closed. You can all Thank pphoenix....again.
  

  
  
  Search > http://forums.afterdawn.com/search
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  28.8.2009 18:58 #17