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Book: Sony Basically Designed the Xbox 360 Processor

Where do you get "sony designed the 360 processor" out of that? IBM designed it....

Well obviosly you didn't read the article. It says that IBM engineers had to hide their desings from Sony Engineers who worked with them. Both teams were in Austtin, Xbox 360 a couple of floors above. Now you explain to me how "IBM designed both processors all by themselves".
 
No, it's very important for the console makers to own the rights to the tech inside their systems. Microsoft used Intel and Nvidia technology in their last console and were limited in cost of production. This time around, they own the tech in the 360 and can drop costs very low. Sony has a significant stake in a lot of the PS3 tech, but not all of it. They're having a lot of trouble reducing costs. They've made up some ground lately, but it looks like they're going to reach diminishing returns soon. I think that next go around, we're going to see both companies have tight control over their designs and not subsidize console costs at release. They'll both try very hard to start out profiting on systems and then work towards halving production costs within 2 years, while reducing cost of the systems by 40% or so.

They may own the rights, but they didn't make the tech. The 360 is using an IBM proc that MS paid for and an ATI GPU that MS paid for. The reason Sony can't lower the cost of the PS3 is that the PS3 is too damned expensive to make, likely due to the still very expensive blue ray drive in it. Remember, consoles are usually sold for a loss (except the Wii). Neither MS nor Sony are making any money off of console sales. The more people buying games and accessories the cheaper the console can be.
 
Both PS3 and 360's cpus are based on powerpc which was designed by IBM.
 
Well obviosly you didn't read the article. It says that IBM engineers had to hide their desings from Sony Engineers who worked with them. Both teams were in Austtin, Xbox 360 a couple of floors above. Now you explain to me how "IBM designed both processors all by themselves".

You can take that argument all the way back to the transistor, or further... IBM designed the 360's CPU with lessons learned from other projects.
 
No, it's very important for the console makers to own the rights to the tech inside their systems. Microsoft used Intel and Nvidia technology in their last console and were limited in cost of production. This time around, they own the tech in the 360 and can drop costs very low. Sony has a significant stake in a lot of the PS3 tech, but not all of it. They're having a lot of trouble reducing costs. They've made up some ground lately, but it looks like they're going to reach diminishing returns soon. I think that next go around, we're going to see both companies have tight control over their designs and not subsidize console costs at release. They'll both try very hard to start out profiting on systems and then work towards halving production costs within 2 years, while reducing cost of the systems by 40% or so.

Agreed! This is basic economics... :)

Still it doesn't suprise me that IBM would use some of the "Ideas" from one design, in another similar design. That's standard operating proceedure as far as I know. Yet that does not mean the two designs are the "same", except that they are designed to perform similar tasks. That's where this article is misleading.

The irony is that the Cell Processor is a very advanced design. It's too bad it was released by a company that was (and might still be...) completely out of touch with it's intended market. If the PS3 had made it to market sooner, without the Blu-ray drive, and at a lower price point, everything would likely be very different than it is now.
 
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