octoberasian
2[H]4U
- Joined
- Oct 13, 2007
- Messages
- 4,082
Well, if Sony didn't offer enough money and Nvidia was asking for something higher, would this not have increased the price of the PS4 to something higher than the supposed $399 price of the console?
I don't think Sony or even Microsoft want to repeat the initial pricing of the PS3 and 360 consoles. Times have changed. Economics have changed. $399 should be a good price for a console even if it means little profit for AMD. Microsoft may come in slightly cheaper due to DDR3 RAM.
However, if Nvidia was asking more than what Sony has offered, it would have probably jumped the price of the console by quite a lot. The only comparable Nvidia GPU to the HD 7850/7970M supposedly in the PS4 is a $300 GTX 660 Ti or $230 GTX 660. The HD 7850 comes in at around $160 to $220.
Let's say the price of the GPU itself sans the RAM and other components is one-third the price of the actual card's retail price and the PS4 is $399. That would put the GTX 660 at $77 to $100 per GPU compared to $54 to $74 per GPU for the 7850/7970M. If Sony was asking maybe $75 or less per GPU unit, I think AMD lucked out here.
That and AMD was able to offer cost-competitive solution with the Jaguar-based SoC and integrating the GPU on-die, thus lowering power consumption as a whole.
I don't think Nvidia would have wanted to be paired alongside their competitor's CPU in the first place.
In the end, I consider this not just a business decision for considering Sony's offer too low but greedy as well. You can't expect consumers to pay for a $500 or $600 console in this current day and age.
I don't think Sony or even Microsoft want to repeat the initial pricing of the PS3 and 360 consoles. Times have changed. Economics have changed. $399 should be a good price for a console even if it means little profit for AMD. Microsoft may come in slightly cheaper due to DDR3 RAM.
However, if Nvidia was asking more than what Sony has offered, it would have probably jumped the price of the console by quite a lot. The only comparable Nvidia GPU to the HD 7850/7970M supposedly in the PS4 is a $300 GTX 660 Ti or $230 GTX 660. The HD 7850 comes in at around $160 to $220.
Let's say the price of the GPU itself sans the RAM and other components is one-third the price of the actual card's retail price and the PS4 is $399. That would put the GTX 660 at $77 to $100 per GPU compared to $54 to $74 per GPU for the 7850/7970M. If Sony was asking maybe $75 or less per GPU unit, I think AMD lucked out here.
That and AMD was able to offer cost-competitive solution with the Jaguar-based SoC and integrating the GPU on-die, thus lowering power consumption as a whole.
I don't think Nvidia would have wanted to be paired alongside their competitor's CPU in the first place.
In the end, I consider this not just a business decision for considering Sony's offer too low but greedy as well. You can't expect consumers to pay for a $500 or $600 console in this current day and age.