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Sony (SNE) have reduced the manufacturing cost of the PS3 by 70% according to Nobuyuki Oneda, Sony CEO and EVP: “The cost reduction since we introduced the PS3 is very substantial and this is on schedule. We don’t disclose how much of the PS3, specifically the cost deduction, was achieved during the past two years. But that is on schedule.” Pushed further he admitted: “About 70%, roughly speaking,”

Obviously this gives Sony room for a price reduction and thus make the PS3 less uncompetitive.

The 70% reduction is nothing special here. Firstly Sony were forced to rip a lot out of the original machine, including hardware backwards compatibility, to reduce costs. Secondly Moore's Law reduces semiconductor costs by half every two years. And thirdly the Bluray drive was new and expensive at PS3 launch, now it is a mass production part which must be costing them a tenth as much to make.

And the PS3 Slim is in production now.

Disclosure: No position

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  •  
    Nobuyuki Oneda is NOT Sony's CEO. Terrible journalism!
    Aug 02 04:56 AM | Link | Reply
  •  
    Wow, you néed to check your sources and do some research before you misinform people with your articles. This is an ok read, but you have some information that is not correct, your credibilty as a jurnalist should be questioned by your lead editor.
    Aug 03 11:25 AM | Link | Reply
  •  
    I'm sure the linked video is real, but why is it filmed like a fake bigfoot video? Can't they stand back a bit so we can get a real look at the console and not swing wildly from side to side, up & down? It looks like a PS2 to me.

    I'm just saying, its as grainy & fumbly as all internet videos for sasquatch.
    Aug 03 01:50 PM | Link | Reply
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