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PS3 price could drop $100 due to Blu-ray diode supply


Hope springs again for gamers who just can't bring themselves to drop $600 on a PS3. DigiTimes reports that Sony's blue-violet laser diode manufacturing plant will increase production and this could, "according to Taiwan-based makers of game consoles and components," drop the PS3 price by $100. Now let's see if those savings are passed on to consumers. Despite what Sony says, this magical $100 reduction is being batted around due to tech upgrades in the console and other factors discussed by analysts.

The article also discusses the production cost drop of the Xbox 360. According to research firm iSuppli the cost to manufacture the Xbox 360 is now $323.30, while it profitably retails for $399. The PS3 costs $840.35 to manufacture, in its current state of production, and retails for $599. We'll have to wait to see the NPD sales data later this month to see how well the PS3 sold in April and if more fuel gets added to the price-drop fire. Although, if the PS3 had a game other than Resistance it might be selling better. Oh well, the purchase of a PS3 was an investment in the future, wasn't it? At least the PS2 is still worth every one of the 13,000 pennies it costs to purchase.

Update: DigiTimes used data from last November's iSuppli report and marked it as May data. The comparison of estimated material cost is valid for PS3 and the Xbox 360 in November of '06. Chances are production costs have declined further since. iSuppli plans to do a new cost analysis soon. [Thanks James]

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