coldpower27
[H]ard|Gawd
- Joined
- Jan 27, 2005
- Messages
- 1,154
Oh yeah I know that's the truth, but the Xbox 360 for example was initially sold at a loss, but the process got refined and over time it's become a product that earns money with every sold console. So initially it's difficult to create a product that can be dropped in price and still make the company money, so over time things get more refined and easier to make and prices drop or companies make more and are able in turn to drop the price to the consumer.
Of course I've been using consoles this whole time for examples and this is related to video cards, but in general it's just a market analysis.
You don't expect these companies to be selling at a loss do you though? And yes over time the prices do come down on the same performance level, look at the 6800 GT MSRP 399USD at launch compared to the 7600 GT 199USD at launch, the latter is slightly more powerful, and cheaper and cooler. It's just that new level is of performance is introduced each time at the high end. So there will always be something in that 599USD price bracket.