According to iSuppli, the cost of manufacturing a 20GB PlayStation 3 “comes to just under $806, almost $307 more than the $499 asking price.” That figure does not reflect the cost of the included accessories — controller, cables, etc.

Compare the numbers to iSuppli’s estimate of how much it costs Microsoft to make a hard drive-fitted Xbox 360: $323, $76 less than the $399 retail price. Don’t forget that in both vendors’ cases the retail price is more than the company itself will receive, inflating Sony’s loss and reducing Microsoft’s profit margin. And Microsoft has had a year to drive up volumes and lower production costs

[via RegHardware]

According to iSuppli, the cost of manufacturing a 20GB PlayStation 3 “comes to just under $806, almost $307 more than the $499 asking price.” That figure does not reflect the cost of the included accessories — controller, cables, etc.

Compare the numbers to iSuppli’s estimate of how much it costs Microsoft to make a hard drive-fitted Xbox 360: $323, $76 less than the $399 retail price. Don’t forget that in both vendors’ cases the retail price is more than the company itself will receive, inflating Sony’s loss and reducing Microsoft’s profit margin. And Microsoft has had a year to drive up volumes and lower production costs

[via RegHardware]