PS3 hardware and its price voes


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Well as we all know that the PS3 has had its number of hardware shortages this holiday and with its $500 and $600 price tag there have been very little sales. That does not mean they were not sold out but it means that people with a tight budget were not able to buy one with a $500 or $600 price tag excluding the games and accessories. Now with a recent idea that I have gotten it can actually help Sony! You say nothing can help Sony; they are totally screwed with the PS3 with its expensive price tag and losing most of its exclusives games. Well my friend or foe, you are wrong. Here is my idea on how Sony can save their butts.

With the Sony PS3 20GB version they are losing about $307 per console sold. With the PS3 60GB version they are losing about $242 per console sold. Now my great idea is since Sony is losing $307 per console sold with the 20GB version and they are making more of the 60GB version, why not just stop making the 20GB version! Now you say?.?Not possible?.Sony is not stupid enough to get rid of the 20GB version of the console that is selling CHEAPER than the 60GB.? Now you are very wrong, if they stop producing the 20GB version they will save $307 and that can go toward other things!

Now you might be asking what are they are going to do with the $307 they just saved. Easy make the 60GB version CHEAPER! Since they are not losing $307 anymore on a crappy 20GB version they can easily put that money toward making the 60GB version cheaper. By making the price tag down to the $400 - $500 price range! Now if they make it to the $400 - $500 price range it can mean one of many things:

1. More people will buy it as it is cheaper,

2. Cheaper price means game producers will now know that the exclusives should stay as people have the PS3 and they will buy the game produced for it so it does not need to be made multi-platform,

3. And if the PS3 is cheaper and more exclusive games on it means?..it now has a shot of taking the win in this generation of console wars.

And now for the last part of my idea. As you may all know there have been hardware shortages almost everywhere. If not then it is over here. Well if they stop making the 20GB version of the PS3 then that means they don?t have to produce it anymore which means they can make more 60GB versions and that will speed up the process and stores will get more of the PS3?s to meet with the demand if they get rid of the 20GB.

Well that?s the great idea! Leave a comment on what you think.

Till Next time

-Nima

View how much Sony is losing on the PS3?s here: http://www.gamespot.com/news/6161925.html?...estnews;title;2

News Source: Nima's Space

I think this is actu:)ly a good idea. :)

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Not to blow up this bubble, but sony will not "save" $307.00 by not making the console, they simply will not make nor lose any money as that money is not lost until the console is sold...also, the 20gig version is likely to sell more at first due to its lower price, more consoles = more royalty fee's = more on the bottom line....

business in practice

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You say nothing can help Sony; they are totally screwed with the PS3 with its expensive price tag and losing most of its exclusives games.

The PS3 won't do it alone. They've been going down hill for years.

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They would save money on the 20gb if they stopped doing them, but it wouldn't be much, and that money would then be put into making more 60gb ones.

But some people like the option, and might not want all the hooplas and extras.

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^^^There is not much of a diffrence...if they drop it it would'nt matter.

The big difference for me is the wi-fi. Buying a seperate wireless adapter costs about $75-100 as it is.

And the chrome finish ;)

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This is the stupidest idea I've heard as a "solution" to Sony's situation... It wouldn't work for several reasons:

1. The 20 GB is the cheaper version, and people would hate to see the 'cheap' PS3 disappear. Choice is good, as long as you don't confuse the consumer or take away basic functionality (playing games).

2. Putting more money into the premium console won't drive down its cost - at least not significantly. And certainly not enough to reduce the price to $400 - $500; that's absurd.

3. Even if every 20 GB console was instead a 60 GB console, there wouldn't be any 'extra' parts to make more 60 GB consoles. Who came up with that idea???

In the end, this whole thing is rediculous. The author doesn't have any concept of manufacturing or business, and some things don't even make sense (see my #3).

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That doesn't make any sense, lol. So they should drop the 20 gig and instead of losing $307 on those they can simply discontinue the 20 gig systems and drop the 60 gig to the $400-500 price range and only lose $342 - $442 per console sold. Why didn't Sony think of that? :rofl:

Anyway, I'd personally buy the 20GB version. I don't care about Wi-fi or the memory card slots...or the chrome highlights. If they kept HDMI exclusive to the 60GB version, it would be a tougher choice, but then I'd just be waiting longer for the price to come down enough for me to consider getting a PS3.

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lol its funny cause what it seems is that only japan and america are getting the 20GB model. here in NZ I can say i've only seen 60GB advertised.

Edited by Digix
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lol its funny cause what it seems is that only japan and america are getting the 20GB model. here in NZ I can say i've only seen 60GB advertised.

I've seen both the 20Gb and 60Gb models advertised here in Australia and far as I know (Australia at least) it getting both as Sony have released Australian prices for both models; A$829 (~USD$650) for 20Gb, A$999 (~USD$780) for 60Gb. Naturally most people will aim to get the 60Gb as it's better one though.

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^^yea thats why i edited my post as you'll see NZ i've only seen it advertised but i just check aussie stores and i was wrong.

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^^yea thats why i edited my post as you'll see NZ i've only seen it advertised but i just check aussie stores and i was wrong.

Yeah I just noticed after I posted, no worries. Perhaps your right then, maybe NZ is only getting the 60Gb model. Personally I think that is the better way to go anyway (not having the 20Gb model)

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Chances are the "cheap" version will stick around for atleast a year. You have to factor in lower income individuals that really want a Playstation 3, but can't afford the extra features as this point. I do agree with the comment of "The 60GB version is the way to go" though.. I am nothing but pleased with mine. Cannot wait for GT5, Motorstorm and MGS4.

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this article also doesnt make sense, because i'm sure a lot of the cost of the console also covers development, not just parts and labour...

agreed. Most of what is putting the PS3 in the hole right now is R&D. Although you would hope that would be paid off in about a years worth of sells.

Has Sony even declared what amount of $ they are losing on each console sale? From what I've seen and heard it is all speculation based on the hardware in the PS3. I'm sure Sony is getting bigger price breaks.

Still a pretty dumb article though.

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Not according to iSuppli...

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i didnt see a row there fore development, so they must be losing even more than has been previously speculated...

at the end of the day though, it is only speculation, nothing more....

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