Every unit of Sony PlayStation 4 costs $ 381 to build , only $ 18 under $ 399 price level of the system , a new teardown analysis of research firm IHS has revealed. The report will be released today , but AllThingsD was able to take a look at the data before time.
Gross margin for the PS4 is substantially better , for Sony , for the PlayStation 3 numbers , when it was first released in 2006 .
An IHS analysis then discovered that costs about $ 805 to build the $ 599 PS3 . Manufacturing costs later down as well as the selling price .
Chips constitute more than half of the manufacturing costs of the PS4 , disassembly IHS report found . This includes an AMD unusually large for $ 100 and $ 88 for 16 individual memory chips .
” This chip is huge ,” said IHS analyst Andrew Rassweiler , noting its size is 350 square millimeters. ” It is almost three times larger than the next largest chip we’ve seen. ” Explained that bigger is not always better , as the chips with the surfaces of the larger areas have a higher probability of manufacturing defects.
The PS4 also includes a Seagate hard drive ( $ 37 ) , Marvell wireless chip and Skyworks , and an optical drive that Sony costs about $ 28, the IHS report . DualShock 4 PS4 controller costs about $ 18 to build, the report concluded. Includes Qualcomm’s Bluetooth chips , an audio chip Wolfson Microelectronics , and chip Bosch motion sensor . The PS4 comes with a controller, while additional units can be purchased for $ 60.
Rassweiler said that because the manufacturing cost price PS4 ( $ 381 ) and sales ( $ 399 ) are so close , it is very unlikely that Sony is making a real benefit to the console , instead relying on games and accessories to increase your bottom line .
“It appears that once again , when it comes to profit , this is the game titles , ” said Rassweiler .
The PS4 was released in North America last Friday, November 15 . The system sold 1 million units in 24 hours and will be released in Europe on November 29 .
PS4 cost $381 to build – Report