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Vice President of Microsoft Game Studios, Shane Kim, said in an interview that the company needs to lower the $299 - $479 price tag to increase sales among those who are not typically interested in traditional combat and racing video games. No word on how much the price will be cut or when it will happen but Mr. Kim's comments come a day after Sony cut the price on it's Playstation 3. Microsoft has sold 5.5 million XBOX 360 units in the United States and 11.6 million worldwide.
Source: Bloomberg
 

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If M$ will be loosing about 100-150 per 360 if they drop the price and Sony is loosing 500-600$? i dont see how the ps3 can compeat with that,And with a price of 250 or 199 i dont see how any one could by the PS3 of the 360 if they whant next gen gaming,and with a 3 year warrenty and the new consloes being better than the old.I think this could realy hurt sony.
 

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Originally Posted by SAVAGE!!!
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MS said with the price drops and the new 3 year warrenty thing, it is going to cost them right around one billion dollars.

ya but thats still less than sony with out the system repair problems sony is charging 499$ for a console that cost 700-800 to make,by the time that they make it to the 11 million mark they will be a lot deeper than M$.M$ is still only lossing about 100$ on every 360,thats about 2 360 for every one PS3.I dont know how many good game that are coming out in the next year but at about 50-100 hours of game play they had better have like 20 if they whant to make up for the losse of the PS3.
 

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licensing games is where they make their money
 

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Originally Posted by jonny1989
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ya but thats still less than sony with out the system repair problems sony is charging 499$ for a console that cost 700-800 to make,by the time that they make it to the 11 million mark they will be a lot deeper than M$.M$ is still only lossing about 100$ on every 360,thats about 2 360 for every one PS3.I dont know how many good game that are coming out in the next year but at about 50-100 hours of game play they had better have like 20 if they whant to make up for the losse of the PS3.

Think, my friend. With Blu-Ray making up over $200 of the initial manufacturing cost, along with the Cell processor being cutting-edge technology...wouldn't you think that it becomes cheaper to manufacture Blu-Ray drives? Don't yields and manufacturing of brand-new processors get better over time? Xbox 360 uses disc technology that's been in the consumer market for years...dual-layer DVDs. Players for these discs began at hundreds and hundreds of dollars, but now you can get for for about $15. Find me a Blu-Ray player that costs the same. The point is that there aren't many components in the 360 that over time can make manufacturing cheaper. Cheaper enough for, say, a price drop. Of course, it's obvious now that MS uses cheap parts and cheap manufacturing processes, looking at the failure rate and all of the lawsuits, etc. Microsoft has no reason to have a price drop while Sony, with PS3 components being cheaper to make, has every reason I can think of. Maybe this is why Sony had a price drop after 3/4 of a year while MS has yet to actually release one after 7/4 years, and the rumored price drop amount (the one Mike from the Times somehow knows) is actually less of a percentage of the total price than the price drop Sony actually gave us.
 

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Originally Posted by Guruboy
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Think, my friend. With Blu-Ray making up over $200 of the initial manufacturing cost, along with the Cell processor being cutting-edge technology...wouldn't you think that it becomes cheaper to manufacture Blu-Ray drives? Don't yields and manufacturing of brand-new processors get better over time? Xbox 360 uses disc technology that's been in the consumer market for years...dual-layer DVDs. Players for these discs began at hundreds and hundreds of dollars, but now you can get for for about $15. Find me a Blu-Ray player that costs the same. The point is that there aren't many components in the 360 that over time can make manufacturing cheaper. Cheaper enough for, say, a price drop. Of course, it's obvious now that MS uses cheap parts and cheap manufacturing processes, looking at the failure rate and all of the lawsuits, etc. Microsoft has no reason to have a price drop while Sony, with PS3 components being cheaper to make, has every reason I can think of. Maybe this is why Sony had a price drop after 3/4 of a year while MS has yet to actually release one after 7/4 years, and the rumored price drop amount (the one Mike from the Times somehow knows) is actually less of a percentage of the total price than the price drop Sony actually gave us.

yes i know that things get cheaper over time but thats not what i was saying,i meant that even with the repair cost M$ is not going to be as deep as sony will,the price of blu ray has droped as will as the CPU and other parts but still your looking at a 300-400 doller lose on ever PS3 where as M$ is losing just over 120+the cost of the repair of about 33% of 11.1 milion 360s,im sure it does not cost them more that 200$ to fix each 360 so sony if sony where to sell 11.1 milion PS3 they would be down about 333 million at about a 300$ lose where as M$ will should be around 180 million that takes into acount the about 3.8 million 360 that they will have to fix costing about 200$,now this is just based on the sale and the cost of the console not the cost of workers and power to run the plantes that fix then as will as how much it cost to ship them.
 

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Quote:


Originally Posted by B-80
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if it's 199, I'll buy it

I heard that core $249 premium $349 elite $399

If premium goes $299 im buying one i was going to get a PS3 but ace combat 6 is on the 360 and i love the ace combat series.
 
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