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Old Feb 25, 2006, 11:21 AM   #1
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PlayStation 3 component prices: Why so high?

Consumers who buy the PlayStation 3 will certainly get high-priced components in that new game console whenever it hits store shelves.

The big question will be how much of a financial loss Sony will have to swallow on each box in order to get consumers to buy them.

The estimated total bill of materials for Sony's next-generation game console will be between $725 and $905, according to various estimates. In comparison, the Xbox 360 from Microsoft comes with a component bill between $501 and $525.

Though Sony hasn't disclosed the price of the PS3, analysts figure it will have to be in the ballpark of $299 to $399--the price for the two versions of the Xbox 360. PS3 pricing speculation has heated up in recent days, along with rumors that the long-awaited game console could be delayed for up to a year.

The pricing disparity between the components for the two consoles comes largely because the Sony box will contain a Blu-ray drive, which supports the new high-definition Blu-ray DVD format. That could cost $200 to $300 or more per console. The processor in the PS3 also will likely cost more.
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Read More / Source: News.com
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