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How much does it cost to make a PS3?

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We keep on hearing about how Sony are still losing money on the PS3 and that it costs quite a bit more to manufacture than they are selling it for.

Well unfortunately Sony will not release exactly how much it costs to manufacture a PS3 but iSuppli have been dismantling and costing consoles and other technical goodies for quite some time and the prices they quote are generally accepted as close to fact as we can get.

And according to them a PS3 Slim costs Sony $336.27 to manufacture while Sony then turns around and sells them for $299 in the States. Which leaves them short $37.27 per console.

That’s not that terrible (it used to be a lot more) but then you check that against the latest NPD sales were Sony sold 710 400 PS3’s in American alone… my basic maths makes that an incredibly eye watering loss of $26 476 608 in November alone.

That’s 26 Million dollars or just under R200 Million…

According to the Internetz rumours the Nintendo Wii and Xbox 360 manufacturing costs are now both under the retail cost of the box which means those two aren’t taking this sort of hit anymore.

It’s not all doom and gloom however as Sony makes a percentage profit on every single PS3 game sold but seeing as we have no idea what that profit is I can’t even use my Grade 2 maths to try and see if they are breaking even yet.

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For the full technical breakdown click here

Source: Kotaku

Last Updated: December 14, 2009

3 Comments

  1. ewie

    December 14, 2009 at 11:25

    There is a lot of cost not included and a lot of revenue
    not accounted for as well, For every game sony sell
    they should recieve roalties of about $10 on it so we need to factor this in as well. And then on the costing
    there is still shipping, discount to retailer, marketing
    and the salaries of the lot on top.

    So it will be interesting to see the results is on the financials.

    LAst quarter The networking devision (PS3,PSP,PS2, and Vio computer) Lost $654 000 on sales of 3.2 Million PS3
    and software sales of 23.4 Million units. If we take it that they make money on the ps2 and most possible break even on the psp range then it is up to the vio and ps3 for the loss. And by just calculatiing costing
    of this then the ps3 could have loss Sony anything between $150 a unit up to $275 a unit. But this would also include the development cost of the PS3 Slim as well as the psp Go in it as well.

    The $36 look very low, but some other costs would most likely inflate it more.

    Only time will tell and the next results is end of
    January so then we could have a better Idea.

    Reply

  2. SlippyMadFrog

    December 14, 2009 at 13:22

    Also, don’t forget about the cost to maintain in-house development studios, PSN, warehousing and distribution, R&D, ect. Good Times!

    Reply

  3. harry

    September 9, 2014 at 17:46

    the cost of labour land rent utilities electricity machines other third parties

    Reply

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