PS3 manufacturing costs almost halved

December 23rd, 2008, 23:47 Posted By: Shrygue

via Computer and Video Games

PS3 was noted for being a particularly expensive console to make on its release year of 2006, but the cost of making them has almost halved, according to electronics research company iSuppli.

The original launch day versions of PS3 were said to cost Sony around $840 per unit to make. Sony was selling them for $599 in the US (£425 over here).

Since then, PS3s have lost PS2 game support, a couple of USB and memory card ports, and gained bigger hard drives, that the revisions seem to have paid off.

According to iSuppli (via Business Week), who did a recent tear-down of the latest PS3s available, those costs are now down to around $440 per unit, which Sony sells on for $399 (or £299).

If the figures are accurate, that would put Sony's losses per console down from around $240 to just $40 per unit.

"Sony is one step ahead of us and probably has plans to re-spin the hardware to reduce the costs yet again," said iSuppli analyst Andrew Rassweiler, who reckons Sony could reach the break-even point in 2009.

Despite expectations, Sony has insisted it has "no plans" for a price reduction on PS3 in March next year, in which the company expects to sell 10 million consoles.

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