• Ever wanted an RSS feed of all your favorite gaming news sites? Go check out our new Gaming Headlines feed! Read more about it here.
Status
Not open for further replies.

Alandring

Banned
Feb 2, 2018
1,841
Switzerland
No, 450$ bom is not the final price. You have to add retail, shippment and other costs. They will lose money even at 499.
I know, but PlayStation 4 had a BOM of $381 and was profitable at $399 in Spring 2014. So for a BOM of $381, the final price (including retail cut, shipments, etc.) was probably around $415/420.

So the difference between BOM and total cost is around 10 percent. $450 + 10%= $495, so PlayStation 5 would be profitable on a unit basis at $499 (or really close to be).
 
Jan 20, 2019
10,681
I know, but PlayStation 4 had a BOM of $381 and was profitable at $399 in Spring 2014. So for a BOM of $381, the final price (including retail cut, shipments, etc.) was probably around $415/420.

So the difference between BOM and total cost is around 10 percent. $450 + 10%= $495, so PlayStation 5 would be profitable on a unit basis at $499 (or really close to be).

Hum, they said that the user whould need to sub 1 year ps+ and 1 game to break even. If we assume that they get around 10-15% on the retail unit(at the time retail was like 70/80% of the sales) that whould put the ps4 overal cost around 450$.

I also remeber that it wasnt spring, but 6-12 months in.
 

ArmGunar

PlayStatistician
Member
Oct 30, 2017
6,527
Hum, they said that the user whould need to sub 1 year ps+ and 1 game to break even. If we assume that they get around 10-15% on the retail unit(at the time retail was like 70/80% of the sales) that whould put the ps4 overal cost around 450$.

I also remeber that it wasnt spring, but 6-12 months in.
Kaz Hirai in May 2014 during corporate meeting
From a profitability perspective, PS4 is also already contributing profit on a hardware unit basis, establishing a very different business framework from that of previous platform businesses.
www.polygon.com

Sony CEO Kaz Hirai says PS4 is already profitable

The PlayStation 4 is already profitable for Sony on a hardware unit basis, president and CEO Kazuo Hirai announced during its corporate strategy meeting this week. "It's been a hugely successful...
 
Jan 20, 2019
10,681

poklane

Member
Oct 25, 2017
27,854
the Netherlands
With the $450 BOM I really hope that's also the maximum at which Sony will sell it for. Sure, they'd lose money on every unit sold for a while but with PS+ being required for online Multiplayer (excluding f2p) and the increasing amount of people buying their games digitally (from which Sony takes an estimated 30% cut) it's never been this easy in the history of video games for a platform holder to make up for selling a console at a loss.
 

Pariah

Member
Oct 29, 2017
3,944
Only a demo or a trial version could create a large difference between users and sales. Such is not the case for Gran Turismo, so even discounting a few hundreds of thousands from the second-hand market (which is astronomical and most probably removed from reality), we're talking of a hardcore racing game moving around 8 million units after only 2 years. I think it's a really impressive result.
 

edo_kid

Member
Oct 27, 2017
11,087
The racing sim genre is not as big as it once was, 8M for an online focus GT game is pretty good in my opinion.
 

Bundy

Banned
Oct 27, 2017
20,931
Launch the PS5 with a game included/bundled (Ratchet & Clank or Ape Escape) for $449 and keep rocking it with great exclusives.
DO IT, SONY!
($399 would be awesome. Highly unlikely tho.)
 
Mar 26, 2019
43
No Dreams PC plans at the moment but PS5.

metro.co.uk

Dreams on PS5 is ‘obvious next step’ says Media Molecule

The ‘obvious next step’ for PS4 exclusive Dreams is a version on the PS5, according to LittleBigPlanet creator Media Molecule.
Not surprising that they'll put it on PS5 since it is releasing so late in the generation. I wonder if there will be PS5 exclusive levels for the community to make to take advantage of the hardware.
 

Electro

Banned
Oct 25, 2017
5,899
Vienna
Not surprising that they'll put it on PS5 since it is releasing so late in the generation. I wonder if there will be PS5 exclusive levels for the community to make to take advantage of the hardware.

Creation mode will probably have a much bigger thermo on PS5 and hopefully it will be possible to play these levels also on PS4.

More creation freedom with PS5 but everything playable on both consoles would be nice.
 

AngelOFDeath

Member
Nov 13, 2017
2,370
Launch the PS5 with a game included/bundled (Ratchet & Clank or Ape Escape) for $449 and keep rocking it with great exclusives.
DO IT, SONY!
($399 would be awesome. Highly unlikely tho.)
Expect some free Plus or Now, or both instead. That way they can reel em in immediately (depending how long the free last) and instantly gain on a user if any of those prices go up.
 

DigSCCP

Banned
Nov 16, 2017
4,201
The racing sim genre is not as big as it once was, 8M for an online focus GT game is pretty good in my opinion.

Honestly I don´t think unique users is a good metric.
I bought GTS used for US10, played for a month and sold it to somebody else.
The previous owner, me and the buyer are unique users.
Everytime a see a dev using unique user as a metric I feel like things are not great as they are trying to claim,
 
Oct 30, 2017
502
Honestly I don´t think unique users is a good metric.
I bought GTS used for US10, played for a month and sold it to somebody else.
The previous owner, me and the buyer are unique users.
Everytime a see a dev using unique user as a metric I feel like things are not great as they are trying to claim,
Even units sold can be deceiving if most sales happened at <$10.

A combination of units sold, active users, revenue etc is preferable (obviously) to get a better picture.
 

That1GoodHunter

My ass legally belongs to Ted Price
Member
Oct 17, 2019
10,854
When we said we we're going to get PS5 news on Dreams' launch day....
WE *claps*WERE*claps*JOKING

Which one of the Sony leakers thought it was a funny idea to do Mm like that? XD
 

____

Member
Oct 27, 2017
10,734
Miami, FL
Honestly I don´t think unique users is a good metric.
I bought GTS used for US10, played for a month and sold it to somebody else.
The previous owner, me and the buyer are unique users.
Everytime a see a dev using unique user as a metric I feel like things are not great as they are trying to claim,
True, but isn't that the case for every consumer product? Phones, consoles, games, etc?
 

edo_kid

Member
Oct 27, 2017
11,087
Honestly I don´t think unique users is a good metric.
I bought GTS used for US10, played for a month and sold it to somebody else.
The previous owner, me and the buyer are unique users.
Everytime a see a dev using unique user as a metric I feel like things are not great as they are trying to claim,

As of September 2017 they had sold 5,220,000 copies, even if let's say 40% of their copies since then have used they still would be at 7M sold.
They will probably update the website with the sold numbers at some point.
 

Zukkoyaki

Member
Oct 25, 2017
11,249
Media Molecule seems like the most wholesome place to work. So much passion and positivity oozing from every social media post.
 

That1GoodHunter

My ass legally belongs to Ted Price
Member
Oct 17, 2019
10,854
So in the last month, Remedy has had Twitter iteractions with:
-Media Molecule
-KojiPro
-Naughty Dog

...and Shu

The sexual tension between Remedy and SIE is real XD

/joking.... Kind of
 

Memento

Banned
Oct 26, 2017
8,129
PS5 Launch Bundle: $499, including 3 months of PlayStation Now

Now the big news. The games that will be avaiable on PSNow on PS5 launch month: The Last of Us Part II, Dreams and Ghost of Tsushima. BO-fucking-OOM.

That way they would drastically increase interest on the service and imediatelly change its public perception, having their 3 biggest games of the year at launch for "free" on the service.
 
Status
Not open for further replies.