ManufacturingCosts
Latest
PS3 manufacturing costs down 70 percent? Strange, it doesn't feel that way
We understand that Sony has a long way to go in making up the losses it's incurred by selling the PS3 at a loss -- even if it was commanding the highest price in the industry the whole while -- but if this latest word on manufacturing costs is correct, we'd say Sony has some room to get the console under that dastardly $400 mark. During an overseas call with investors over Sony's Q1 financials, Nobuyuki Oneda, Sony's CFO and Executive VP, apparently stated that manufacturing costs for the PS3 are down 70 percent, which is right "on schedule." While there's no official cost published by Sony, those in the know estimate the console originally cost around $800 to produce, and should be down to roughly $240 at this point. Maybe a holiday price cut is in the cards? Boy, we sure hope so. Either that, or he's already spouting off the PS3 Slim's production cost, which is a win for everybody. [Via Joystiq]
iPhone 3GS: $179 to build says iSuppli
iSuppli's just released its estimated cost of Apple's newest offering, the iPhone 3GS. Total costs for the 16GB model costs $178.96 to manufacture, according to them -- give or take $4.63 more than the 8GB iPhone 3G estimate from last year. It's also about $40 more than iSuppli's most recent manufacturing estimate for the Palm Pre. The estimate covers only materials, and doesn't take into account various costs such as shipping and distribution, packaging, royalty fees or all the miscellaneous accessories included with each handset. Regardless, it definitely looks like Apple's managed to step up the innards of the phone without a significant bump in costs.
Analyst suspects Wii manufacturing costs are down 45%
This obviously isn't the sort of thing that Nintendo is going to come out and confirm itself, but analyst Koya Tabata of Credit Suisse has apparently determined, or at least guessed, that Nintendo has managed to drastically reduce the manufacturing costs of the Wii since its launch. Specifically, Tabata says that manufacturing costs are down a full 45%, which would of course also mean that Nintendo's margins on the console have increased proportionally, and that the chances for a price cut are now better than ever, especially in light of the newly cheapened PS2. According to Tabata, however, any price cut would likely first arise in emerging markets, with a drop 'round these parts anything but a sure thing.[Via Joystiq]
