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Production Costs Of PS3 Cut In Twain

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The PS3 has been sliced, diced, smothered and covered from the start. There has been no definitive version of the console, since Sony has been altering and changing the machine to meet market demand. They built an expensive, luxury console from the start, but have been stripping the features down without compromising performance. Now they have widdled the PS3 down to a reasonable production cost to hopefully get the games devision of Sony out of the black.

What was once an $800.00 console to manufacture, has been cut down to about $400.00. Since the PS3 launched, Sony has been working to reduce the cost of the machine by addressing the technology that supports it. Starting with the 40GB model, the backwards compatibility was axed from the system, while the 80GB system supports backwards compatibility through software. Several USB ports and medial slots have been pulled to reduce the cost. Now Sony has a business model that should support themselves out of the black. The start was rough for the PS3, but now is the time to make some headway. With a great lineup this year, hopefully we will see more support for the underdog in the next-gen console race.

Sony's Blu-Ray Breakthrough [Businessweek]

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