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  1. #1
    Self is all; All is Self. WiseOldApe's Avatar
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    Interesting thing about gaming consoles.

    So, apparently a gaming console like a PS5 or an xbox series X costs 500 USD to purchase, however it's actually worth MORE than that, and the company loses money on the console it self.

    It actually makes profit on the games and services that it provides to the end user.

    Makes sense though.

    A decent gaming PC can range from 1500- 2500 USD easily, so 500 for one is really good value.
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    Registered User taskmob's Avatar
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    So that's the rationale you use for buy $70 games. Alright retard haha.
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    Self is all; All is Self. WiseOldApe's Avatar
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    Originally Posted by taskmob View Post
    So that's the rationale you use for buy $70 games. Alright retard haha.
    Dude, I have a PC and I also have a ps4 slim
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    Originally Posted by taskmob View Post
    So that's the rationale you use for buy $70 games. Alright retard haha.
    This has literally been the case for decades. Almost all gaming consoles ever made have been sold at a loss (or at/near cost, not factoring in retailer's cuts, etc.). They don't make their money on the hardware. They make it on licensing and the software.
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    Originally Posted by taskmob View Post
    So that's the rationale you use for buy $70 games. Alright retard haha.
    I don't think I've ever paid $70 for a game. Even new releases you can find around the holidays half off or on offerup shortly after for 40 bucks.

    And OP... I still play on my 2014 Xbox 1. It's held up well, the only issue I've ever had was recently in WZ sometimes buildings far will take a while to render.

    But I still shred these virgins on their $4k computers with graphics cards worth more than my console and then they cry about aim assist
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    Console hardware is a tremendous value, especially early on in a generation.
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    I thought this was common knowledge but I suppose not, although it is an interesting business concept. This is called a loss leader, where the intention is to make up for the loss of revenue for other services and products (xbox live, game pass, etc).

    When I worked at Best Buy.....18 years ago now? Lol. They sold TV's at razor thin or no profit, then make up all the money on extended warranties, monster HDMI cables that were $80 a piece, surround sounds etc
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    I use to play video games when I was young but now that I'm old I don't play video games anymore
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    Sony and Microsoft lose money on console sales, which is all the more reason to eventually switch everything over to a streaming platform.
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    Originally Posted by taskmob View Post
    So that's the rationale you use for buy $70 games. Alright retard haha.
    $70 for a 60hr game.

    That's $1.16/hr. Doesn't sound bad to me
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    it's acceptable for me
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    Not Clive's Biceps ClivesTriceps's Avatar
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    BRB, console games are more expensive

    BRB, monthly subscription to XBL/PSN

    Ends up costing more in the long run than a gaming PC
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    Progression Visel's Avatar
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    Originally Posted by ClivesTriceps View Post
    BRB, console games are more expensive

    BRB, monthly subscription to XBL/PSN

    Ends up costing more in the long run than a gaming PC
    When you consider that it's approximately 7 years of a gap between one console generation and the next, they sell you the $500 console for a loss sure, but then they hook you in for up to 7 years of XBL/PSN, making it turn out to be an additional $840 assuming you do $10 a month. Up to $15 a month on the Xbox ecosystem if you do the Game Pass Ultimate (or $35 a month if you bundle a financing option on the Series X, which is actually a good deal btw when you do apples-to-apples on individual items and console purchase itself). Then they get profit off of gamers from the DLC and games themselves along the way too. Also don't forget about the console's accessories.

    By getting folks to enter the ecosystem they win.

    3-4 years down the road though a med-tier gaming PC at the time will demolish the hardware in the Series X / PS5, and they'll potentially bring out "Pro" variants again.
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    Registered Alpha mgftp's Avatar
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    Originally Posted by Visel View Post
    When you consider that it's approximately 7 years of a gap between one console generation and the next, they sell you the $500 console for a loss sure, but then they hook you in for up to 7 years of XBL/PSN, making it turn out to be an additional $840 assuming you do $10 a month. Up to $15 a month on the Xbox ecosystem if you do the Game Pass Ultimate (or $35 a month if you bundle a financing option on the Series X, which is actually a good deal btw when you do apples-to-apples on individual items and console purchase itself). Then they get profit off of gamers from the DLC and games themselves along the way too. Also don't forget about the console's accessories.

    By getting folks to enter the ecosystem they win.

    3-4 years down the road though a med-tier gaming PC at the time will demolish the hardware in the Series X / PS5, and they'll potentially bring out "Pro" variants again.
    $10 a month for PSN? lmao
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    Originally Posted by mgftp View Post
    $10 a month for PSN? lmao
    True, $5 with 12 months sub for PSN. Same goes for Xbox Gold I believe, unless you jump in those game pass deals.
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    Not Clive's Biceps ClivesTriceps's Avatar
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    Originally Posted by Visel View Post
    When you consider that it's approximately 7 years of a gap between one console generation and the next, they sell you the $500 console for a loss sure, but then they hook you in for up to 7 years of XBL/PSN, making it turn out to be an additional $840 assuming you do $10 a month. Up to $15 a month on the Xbox ecosystem if you do the Game Pass Ultimate (or $35 a month if you bundle a financing option on the Series X, which is actually a good deal btw when you do apples-to-apples on individual items and console purchase itself). Then they get profit off of gamers from the DLC and games themselves along the way too. Also don't forget about the console's accessories.

    By getting folks to enter the ecosystem they win.

    3-4 years down the road though a med-tier gaming PC at the time will demolish the hardware in the Series X / PS5, and they'll potentially bring out "Pro" variants again.
    Originally Posted by mgftp View Post
    $10 a month for PSN? lmao
    $10 per month, 12 months per year for 7 years is $840, if you buy 4 games per year at $70, that's another $1,960 over 7 years. You're spending $2800 on an additional internet expense and games that are more expensive. just fukkin kek lol

    you might get a decent value on your potatostation at the time of sale, but you get phucked and dont even realize it over the life cycle.. plus if you go in on a "pro/x" version like this gen, another $400 down the console toilet

    Then youll need to spend more money inevitably on a bigger SSD because the one a console comes with will no longer be big enough
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    Registered Alpha mgftp's Avatar
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    Originally Posted by Visel View Post
    True, $5 with 12 months sub for PSN. Same goes for Xbox Gold I believe, unless you jump in those game pass deals.
    If you are paying over $30 for a year of PSN you on that retard time.

    Still LoLing@ these PC guys saying $120 a year. Fawk, I don't think it's possible to pay more than $60 for a year if you are looking to overpay. Cope.
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    Originally Posted by MikeLowrrrey View Post
    $70 for a 60hr game.

    That's $1.16/hr. Doesn't sound bad to me
    I bet you also think that money trickles down to devs

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    Originally Posted by ClivesTriceps View Post
    $10 per month, 12 months per year for 7 years is $840, if you buy 4 games per year at $70, that's another $1,960 over 7 years. You're spending $2800 on an additional internet expense and games that are more expensive. just fukkin kek lol

    you might get a decent value on your potatostation at the time of sale, but you get phucked and dont even realize it over the life cycle.. plus if you go in on a "pro/x" version like this gen, another $400 down the console toilet

    Then youll need to spend more money inevitably on a bigger SSD because the one a console comes with will no longer be big enough


    Well, given that its almost the norm to price games at $70, it wont be long before PC gaming follows suit.




    It's a crappy outcome for all gamers and dev's except the execs who are profiting off all this.
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    Originally Posted by WiseOldApe View Post
    So, apparently a gaming console like a PS5 or an xbox series X costs 500 USD to purchase, however it's actually worth MORE than that, and the company loses money on the console it self.

    It actually makes profit on the games and services that it provides to the end user.

    Makes sense though.

    A decent gaming PC can range from 1500- 2500 USD easily, so 500 for one is really good value.
    It's the same as a Razor and Blade business model. Also printer and ink is the same. The manufacturer sells the product at a loss but makes a killing on the consumables. Console game prices are high and also the online subscription is high.

    In any case, a console is not even near the same level of hardware as a $1500-2500 PC, I'd say maybe $1000 tops and that is just at the time of launch. During the life cycle of the console it will be greatly surpassed by a much cheaper PC because the PC hardware is evolving while the particular console will stay the same throughout its life cycle. I saw an estimate that a PS5 costs Sony $450 to manufacture so I would say Sony is only selling it for a price needed to break even, not at an actual loss.
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