Sony will eat a loss, the only question is how far they are willing to go.
Supposedly they had an almost 300 loss on the PS3 (+ - 800 BOM, sold at 499 and 599), and at that time the Playstation wasn't as integral to their business as it is now.
It's depressing to know that Sony's marketing department probably checks these boards to gauge how consumers would accept a higher price point and they find threads full of people like "I hope I can give Sony more money!"
If Sony launch their console with a loss on each unit, it wouldn't be good for us either. They would have less money to invest on exclusives and/or they will need to find a way to recover the money lost (for example in increasing the price of the PlayStation +).It's depressing to know that Sony's marketing department probably checks these boards to gauge how consumers would accept a higher price point and they find threads full of people like "I hope I can give Sony more money!"
I Sony launch their console with a loss on each unit, it wouldn't be good for us either. They would have less money to invest on exclusives and/or they will need to find a way to recover the money lost (for example in increasing the price of the PlayStation +).
Every company wants to make as much profits as possible. That's fine. But I prefer that Sony makes this money with amazing single players AAA than with PlayStation + or MTX on Fortnite.
I really don't think they will take a big loss, I think they will rather sell at cost and rely on the quality of there games to sell there platform.
If it turns out like this
Lockhart 5tflop $299
Xsx 12.18tflop $499
Ps5 13.4tflop $499
I think Sony would do very well, with the quality of there first parties and "best in class" visuals. They might lose some sales because of Lockhart but still do very well.
Klee has said XsX is a bit higher then 12tf and he said ps5 is more powerful then That, so 13.4 is my speculation based on that.
I really doubt that PlayStation 5 will be more poweful than Xbox Series X. The whole point of Xbox Series X is for Microsoft to have the most powerful console.I really don't think they will take a big loss, I think they will rather sell at cost and rely on the quality of there games to sell there platform.
If it turns out like this
Lockhart 5tflop $299
Xsx 12.18tflop $499
Ps5 13.4tflop $499
I think Sony would do very well, with the quality of there first parties and "best in class" visuals. They might lose some sales because of Lockhart but still do very well.
Klee has said XsX is a bit higher then 12tf and he said ps5 is more powerful then That, so 13.4 is my speculation based on that.
I really doubt that PlayStation 5 will be more powefull than Xbox Series X. The whole point of Xbox Series X is for Microsoft to have the most powerful console.
Also, I think that a $200 price difference would be really huge. Could PlayStation 5 still profitable? Sure, but I think it would affect sales. In my opinion, PlayStation 5 should be at much $100 more expensive than Xbox Series S.
In the next decade, digital will probably make up about 90% of all game sales in the west so having them playing and buying those games On your platform is essential as the profits will be enormous. I say eat up whatever cost it is and get the consumers to your platform ASAP.
If the article from Bloomberg is correct (PlayStation 5 has a BOM of $450 and it was more than expected for Sony) and if ZhugeEX was right when he said that Xbox Series X BOM will be above than PlayStation 5 (even if it is slighty), I wouldn't call PlayStation 5 a "premium console."I don't think so, I think Sony want to go the premium route, they want to capitalise on there "even like" first party games. They want to differeate themselves from Xbox's "anything for anyone" approach.
That 450 does not include cost of manufacturing. It's literally the cost of the items inside the device. You think they want to build that for free?If the article from Bloomberg is correct (PlayStation 5 has a BOM of $450 and it was more than expected for Sony) and if ZhugeEX was right when he said that Xbox Series X BOM will be above than PlayStation 5 (even if it is slighty), I wouldn't call PlayStation 5 a "premium console."
In my opinion, Sony's approach is "PlayStation 5 for everyone." They want a great product, a true next-gen console, but not at any price. If PlayStation 5 has really a BOM of $450, I think it's more likely that the console will launch at $449 than $499. $499 for a console that have a BOM of $450 seems very greedy, more than for PlayStation 4 at launch.
If the article from Bloomberg is correct (PlayStation 5 has a BOM of $450 and it was more than expected for Sony) and if ZhugeEX was right when he said that Xbox Series X BOM will be above than PlayStation 5 (even if it is slighty), I wouldn't call PlayStation 5 a "premium console."
In my opinion, Sony's approach is "PlayStation 5 for everyone." They want a great product, a true next-gen console, but not at any price. If PlayStation 5 has really a BOM of $450, I think it's more likely that the console will launch at $449 than $499. $499 for a console that have a BOM of $450 seems very greedy, more than for PlayStation 4 at launch.
That 450 does not include cost of manufacturing. It's literally the cost of the items inside the device. You think they want to build that for free?
From the article of Bloomberg:Remember that BOM does not account for shipping, packaging, retailer cut and r + D.
When it's its all said and done the PS5 will cost Sony more like $500 per unit possibly more.
The PS4, released in 2013 at a retail price of $399, was estimated by IHS Markit to cost $381 to manufacture. With the $450 unit cost and a similar gross margin, the PlayStation 5's retail price would have to be at least $470.
Not a lot, E3 is still somewhat large for attendance (60-70k since going public). Globally there are many tradeshows that are much larger like Tokyo Game Show (250k+), Paris Games Week (300k+), Brazil Game Show (300k+) and Gamescom (350k+) but in NA only the PAX shows are somewhat larger (70k+). A big part of that is that public tickets for E3 are still limited (they're expanding to 25k for 2020) and it's still mostly press. In terms of press passes it's still the largest tradeshow too iirc, which is probably why it's viewership metrics still far surpass larger shows like TGS or Gamescom.aren't a lot of non-North American shows bigger than E3? E3 might have the most eyes on it, but more people attend other shows. that might be better since you can get the public's hands on the games
From the article of Bloomberg:
The equivalent of the price of the PlayStation 4 would be $470 for the PlayStation 5. $450 would be more agressive and Sony would take a bigger loss on each unit. $500 would be less agressive, the console would probably be profitable at launch (or really close to be), unlike PlayStation 4. In a world where digital and subscriptions are so important, what is the most likely, in your opinion?
I think the price target by Sony has always been $399, but maybe it won't be possible this time.
Corporations aren't your friend lol.
I think that it's also possible that PlayStation 5 is $499 and Xbox Series X $549. I doubt it will happen ($449 and $499 is more likely for me), but if the price of the components grow more than expected, it isn't impossible.If its more power or very very close in power to the XsX I think it will be the same price, if its weaker it will be $449
I think that it's also possible that PlayStation 5 is $499 and Xbox Series X $549. I doubt it will happen ($449 and $499 is more likely for me), but if the price of the components grow more than expected, it isn't impossible.
If MS wants to bleed money on it.Whatever happens if lockhart is a thing ms will have a significant price advantage.
That's not really a concern if it achieves thier goal (establish them as market leaders in cloud services & streaming).
Absolutely. The most expensive PlayStation 5 is, the most sense Xbox Series S makes.Whatever happens if lockhart is a thing ms will have a significant price advantage.
That was just economically silly. That should never have been allowed to happen.
They should never have built a console which was that expensive.
LOL - do you understand that a shortage effects everyone? Lockhart's main differentiation wasn't the SSD but a cut down GPU.
A 499 PS5 means-
599 Series X (if they were targeting 499)
399 Lockhart (if they were targeting 299)
The victory laps being run because Sony has to increase price misses the point that Microsoft will also suffer the same sensitivities. There are no winners here unless you own stock in micron.
I can afford $999 or more.......but I know I am not in the majority. In the end, a price that satisfies everyone is better for everyone. The console sells well and is better supported.I never understood people needing that price to be 399 for an 8 year console generation, but then go on spending 1000 on a phone nearly every year.
Not all of you, not most of you even I'm guessing. But still..
Or a 25 000 dollar car every 8 years. Absolutely comparable things.I never understood people needing that price to be 399 for an 8 year console generation, but then go on spending 1000 on a phone nearly every year.
Not all of you, not most of you even I'm guessing. But still..
With that logic then companies should just make the consoles $4000. After all they last 4x as long as the average phone upgrade.I never understood people needing that price to be 399 for an 8 year console generation, but then go on spending 1000 on a phone nearly every year.
Not all of you, not most of you even I'm guessing. But still..
Yes, you're right. It's why I moved to PC gaming mostly, it's probably unfair wanting to have theI can afford $999 or more.......but I know I am not in the majority. In the end, a price that satisfies everyone is better for everyone. The console sells well and is better supported.
I'm cool with $499 btw
Fair enough.With that logic then companies should just make the consoles $4000. After all they last 4x as long as the average phone upgrade.
If it turns out like this
Lockhart 5tflop $299
Xsx 12.18tflop $499
Ps5 13.4tflop $499
This is just wishful thinking and doesn't make any sense. Why would XsX be less powerful and still be priced the same as PS5? Is there a Kinect included again or what?I really don't think they will take a big loss, I think they will rather sell at cost and rely on the quality of there games to sell there platform.
If it turns out like this
Lockhart 5tflop $299
Xsx 12.18tflop $499
Ps5 13.4tflop $499
I think Sony would do very well, with the quality of there first parties and "best in class" visuals. They might lose some sales because of Lockhart but still do very well.
This is just wishful thinking and doesn't make any sense. Why would XsX be less powerful and still be priced the same as PS5? Is there a Kinect included again or what?
The difference is about 10%, which won't cause a big price difference.
It could just be a case that the ps5 has 100mhz higher clocked gpu.
And its not wishful thinking my prediction is based on multiple insiders.
it is wishful thinking. No one has said the GPU in the PS5 is better than Series X.