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[PSBLOG] PS4 hits 7 Million Globally - Page 2

post #11 of 60
Quote:
Originally Posted by andrews2547 View Post

Quote:
Originally Posted by August View Post

I apologize, I didn't mean to do that. I do think it's a great feat.
And you would be right, if it weren't for the fact that we're talking about global sales, where 1 euro/pound/any other world currency doesn't equal 1 US Dollar.

RRP in the US = $399
RRP in the UK = £349 ($586.79 USD as of this post)
RRP in the EU = €399 ($552.64 USD as of this post)
RRP in Australia = $549 AUD ($513.00 USD as of this post)

Before taxes, shipping, other expenses, the PS4 is around $349-$449 USD everywhere. $2.8 billion gross is a pretty accurate guess.

You also have to consider the actual cost to make the PS4, which is $381. So, they're only making around $20 off of every console, which roughly equates to around $140 million of net profit so far.
post #12 of 60
Quote:
Originally Posted by airisom2 View Post

You also have to consider the actual cost to make the PS4, which is $381. So, they're only making around $20 off of every console, which roughly equates to around $140 million of net profit so far.

I'm not talking about profit, I am talking about gross (income). They are likely making more like $30 profit per console due to bulk buying. That's if they are even making a profit at all. If it's anything like the PS3, they won't make any profit (off the consoles anyway) until 2017. Sony only broke even with the PS3 in 2010 despite being releasing it in 2006, it's probably the same story with the Xbone. Sony most likely making their money through licensing/Playstation+ than the actual hardware they are selling.
    
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post #13 of 60
Quote:
Originally Posted by andrews2547 View Post

RRP in the US = $399
RRP in the UK = £349 ($586.79 USD as of this post)
RRP in the EU = €399 ($552.64 USD as of this post)
RRP in Australia = $549 AUD ($513.00 USD as of this post)

Before taxes, shipping, other expenses, the PS4 is around $349-$449 USD everywhere. $2.8 billion gross is a pretty accurate guess.
Read the original post that mentions $2.8 billion...

I was not aware that the PS4 was produced in the US. I was also unaware that the PS4 was globally shipped from the US.
post #14 of 60
Quote:
Originally Posted by andrews2547 View Post

Quote:
Originally Posted by airisom2 View Post

You also have to consider the actual cost to make the PS4, which is $381. So, they're only making around $20 off of every console, which roughly equates to around $140 million of net profit so far.

I'm not talking about profit, I am talking about gross (income). They are likely making more like $30 profit per console due to bulk buying. That's if they are even making a profit at all. If it's anything like the PS3, they won't make any profit (off the consoles anyway) until 2017. Sony only broke even with the PS3 in 2010 despite being releasing it in 2006, it's probably the same story with the Xbone. Sony most likely making their money through licensing/Playstation+ than the actual hardware they are selling.

I didn't say you were talking about profit. I was just adding a bit more info wink.gif But yeah, game sales and ps+ subscriptions is where Sony's really making their money from, as usual.
post #15 of 60
Quote:
Originally Posted by August View Post

I was not aware that the PS4 was produced in the US. I was also unaware that the PS4 was globally shipped from the US.

The PS4 is the cheapest in the US due to the US having some of the lowest taxes in the world as well as some of the cheapest land in the world which means much cheaper costs. This is why pretty much everyone uses USD for global gross/profit/loss.
    
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post #16 of 60
I will contribute to that number as soon as the game library increases in size a bit. Hopefully these strong sales will benefit us all regarding future game development.
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post #17 of 60
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Originally Posted by August View Post

And you would be right, if it weren't for the fact that we're talking about global sales, where 1 euro/pound/any other world currency doesn't equal 1 US Dollar.

And you would be right, if the electronics market actually followed the exchange rate of currencies. However it does not, so your logic doesnt add up right.
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post #18 of 60
Quote:
Originally Posted by andrews2547 View Post

The PS4 is the cheapest in the US due to the US having some of the lowest taxes in the world as well as some of the cheapest land in the world which means much cheaper costs. This is why pretty much everyone uses USD for global gross/profit/loss.

You've lost me. This doesn't make any sense to me.

There are a couple of reasons why the US Dollar is used outside the US, but the US taxes being low has absolutely nothing to do with it.

The RRP in the US would include shipping and tax(is tax included in the 399 price?) costs by your own logic. Taking those into account, there is still a gross slight mismatch in RRP globally. Hence why the 2.8 billion dollars amount is inaccurate.
Quote:
Originally Posted by EniGma1987 View Post

And you would be right, if the electronics market actually followed the exchange rate of currencies. However it does not, so your logic doesnt add up right.

Am I to understand that for every Euro I give to Sony, they actually receive 1 USD?
Edited by August - 4/17/14 at 6:10am
post #19 of 60
I think Sony is only netting $18 profit per console so most of the money will come from content purchases
post #20 of 60
Quote:
Originally Posted by August View Post

Am I to understand that for every Euro I give to Sony, they actually receive 1 USD?

I really dont know why you are so set on every company somehow having to convert all their assets to US Dollars. You don't seem to understand how these numbers are added up or calculated at all...
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