Hirai Looks for PS3 to Start Turning Profit Thanks to 40GB ModelPosted 2:22pm Mon Jan 07, 2008 by Shiva Stella
Tags: kaz hirai, people, interview, playstation 3
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The vibe from the Sony camp is definitely positive since the holidays, with chief executive of SCE Kaz Hirai recently commenting to Reuters that it is possible for Sony to begin turning a profit on the PlayStation 3 console over the next fiscal year.Hirai stated, "The next fiscal year starts in April and if we can try to achieve that in the next fiscal year that would be a great thing. We are going through the budgets right now. That [profitability] is not a definite commitment, but that is what I would like to try to shoot for."
Hirai explained that the cost of making the machine - specifically the cheaper 40GB model - is what is helping Sony reach this goal. Here's a nice summary:
"Component costs are coming down, and the number of components ... we are seeing a reduction. The 40 gigabyte PlayStation 3 obviously has fewer components, and uses less power, which means that components required to dissipate heat, for example, can be smaller, so there is some cost reduction there... So costs are coming down significantly."
Makes one wonder why they didn't offer the 40GB model from the start.
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