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Old 03-28-2006, 05:01 PM
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Jake007 Jake007 is offline
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I read this almost all through and its very interesting. As I browse at my psp I do feel a void, like theres something missing, im sure you all feel somewut the same. That all these new addons coming to it may make its seem less attractable.

I found this interesting.....

"Even if Sony manages to avoid the pitfalls of the PSP, it may find itself on the verge of a very dangerous mistake. Thanks to all the components that Sony has already crammed into the machine, its cost to manufature has been estimated at $800 per unit by Merrill Lynch. To perfectly fair, Merrill Lynch originally estimated a cost of $900 but then discovered that it had committed an error in arithmetic, so we must look with some skepticism no a report produced by a company that literally couldn't even add two numbers together. All the same, this is a breathtaking expense for Sony. Let's assume the PS3 retails for $500 (any higher would be suicide). And let's also assume that licensing gives Sony $30 per game sold. That's an absurdly high number because no developer would put up with losing half of a game's price to Sony in licensing fees. But even with that unrealistic estimate, Sony would have to achieve a tie-in ratio of 10 games per console just to break even. In the current generation, the PS2 has a tie-in ratio of 12 per console now near the end of its life. Effectively, the PS3 would lose money and lots of it for the first several years of its life, and all because Sony couldn't seem to resist adding more features to the thing."

I think Microsoft will have one this console war because of Sony's desire to incorporate an abudance of features into the PS3.
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