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Sold at a Loss: Does it Matter?

Around a century ago, or so the story goes, a salesman by the name of King Camp Gillette had two ideas – one good, one brilliant. The good idea was to manufacture and sell a safety razor that used disposable blades so a dull blade could easily be replaced. The brilliant idea was to sell the razors at a loss, and make a cut-throat profit on the blades.

This is now true of gaming. Two of the three consoles are sold at a loss, making the cash back on games and accessories. But what does this mean for gamers and the companies themselves? It's time to speculate and investigate.

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