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360,ps3= pc equivalent

Sony invested in a new fabrication plant specifically to develop the Cell processor. The Cell was a joint operation between three giants. Sony, Toshiba and IBM. I'd say the vast majority of development costs for the PS3 are directly related to Cell.
 
Yeah- on the R+D side, but the current talk is that they're still losing $260 for every PS3 sold and that doesn't include R+D- that's just what's in the rig. R+D they can make-up over time and actually the way the console distribution model works they're relying more on the royalties on game sales to compensate for the R+D as opposed to allowing the R+D to cut into the actual cost of each console sold. Of course, this is not to say that CELL isn't affecting the PS3's price, and is not even to say that R+D doesn't affect a console's price as console manufacturers need to keep their losses reasonable, but just that it isn't/doesn't have to cut in as much as is suggested. Then again though, reflecting on that $260 figure... CELL doesn't seem to be saving them anything in actual production costs.
 
Exactly my point. The cost to produce the console was so high that even a reasonable loss resulted in a $600 console.
 
RamonGTP said:
Exactly my point. The cost to produce the console was so high that even a reasonable loss resulted in a $600 console.
Click to expand...

Right, and adding insult to injury, thus far CELL has been tough for Sony to market. I suppose it would be interesting to postulate what would have befallen the PS3 had Sony opted for a more "standard" cpu and instead shifted funds to getting the precursor to the 8800GTX as the 360 got the precursor to the HD 2900XT.
 
Ok why is this thread still open LOL it now has NOTHING to do with the OP's question in any way.

DIE ALREADY!!! lol
 
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