Sony ditched the large PS3 hardware style in favor of a slimmer, sleeker, and ultimately cheaper “Slim” model this September. But even with the change, Sony is still losing money on every console sold.

A report issued today by industry analysis veterans iSuppli, said the total manufacturing costs for a PS3 Slim as of December 2009 is $336.27. And the system sells for $299, for a loss of about $40 on each unit sold.

Money: It's lost.

Money: It's lost.

That loss sounds problematic, but wait. Multiply that $40 by the millions of millions of PS3 Slims Sony has sold recently, and you’ve got a much larger loss figure.

The most expensive component? You guessed it, the system’s proprietary Blu-Ray drive, which costs Sony an estimated $66.

Sony can bank on strong sales of first-party software to make up for some of the loss, but until manufacturing prices come down, Sony won’t be making any money on hardware.

Source: Kotaku

About The Author

Eddie Makuch is a Blast staff writer. Reach him at [email protected] Follow him on Twitter @EddieMakuch.

8 Responses

  1. jason

    that is total bullshit, whatever anyone is saying about the ps3 is a dud. THE PS3 IS THE ULTIMATE FUCKING CONSOLE EVER MADE!! but the ps2 will always remain the very best.

    Reply
    • TUX-Z

      i totally agree with jason 100% the ps3 rocks and i have no problem owning it! but the 360 sucks, you have to pay for online service on the 360 while on the ps3 its free! PS3 PWNS!!

      Reply
  2. jason

    thank u TUX-Z, you make my spirits happy! thank u very much. THE 360 FUCKING SUCKS!!!

    Reply
  3. Eddie Makuch

    Thanks for the input guys. But the article doesn’t say the PS3 is a poor gaming machine. It isn’t. It’s arguably the best. The article simply relates how Sony is losing money on every console they sell.

    Reply
    • jason

      hmm… let me take a guess eddie, lets say the best game console ever made is made now and the company who made it loses a lot of money for every unit sold right? why? anybody who doesn’t own the ps3 is honestly considered an obsolete gamer, i just cannot stand the 360 vs. ps3 stuff.

      well, i guess every 1 entitled to their own opinion,(sigh) but the ps3 is definitely not a dissapointment. but how could a popular gaming company lose that much money?

      oh, thanks for your input eddie, i apologize if i went off topic or stuff like that.

      Reply
  4. Eddie Makuch

    Not a problem. I hear ya. I own a 360, PS3, and Wii and feel that’s the only true way to pass judgment on the entire spectrum of this generation gaming.

    Reply
  5. TUX-Z

    What you said made sense. but how could a popular gaming company lose that much money? is it because of the economy? what?

    Reply
    • Joe

      Losing a little money on every console sold is actually a common practice, Nintendo lost money on the original NES and they made it back up with the sale of software to go with it.

      Sony is losing right now $40 per console made, when the PS3 was first released it was closer to $100 per console. The PS2 hardware compatibility and the card readers were the first to go and make the console less expensive. The switch to the new slim brought the cost down more but still not enough to break even on each console sold. Sony is basically trading off $40 to each customer that buys now, knowing that in Licensing fees and profits for all titles purchased for each console over the life expectancy of each console. The sheer popularity of the system is what has caused the significant losses that they are currently posting. They will eventually make up the planned loss and turn a profit on consoles further down the road when the manufacturing cost drops below the retail price.

      Reply

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