| Kaz Hirai Says Sony Closing In On Playstation 3 Profits With Reduced Component Costs |
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| Written by Rivithed | ||||
| Monday, 07 January 2008 | ||||
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Kaz Hirai, chief executive of Sony Computer Entertainment, says the next fiscal quarter should bring profits for the Playstation 3. Trimming the Playstation 3 from a couple USB ports, memory card slots and reduced HD storage capacity to 40GB will help Sony's Playstation 3 console become profitable. Thanks to the $399 Playstation 3 40GB model introduced in November 2007. That's $200 less than the $599 PS3 60GB model introduced a year before that.
"Component costs are coming down, and the number of components ... we are seeing a reduction. The 40 gigabyte PlayStation 3 obviously has fewer components (than more powerful models), and uses less power, which means that components required to dissipate heat, for example, can be smaller, so there is some cost reduction there," said Hirai. "We want to get to the positive side of the equation as quickly as possible. 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." From Reuters
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