Why do Some Predict the PS3 Slim Will Be Cheaper?

PS3 Informer Writes:

"The problem is that - as the PSP Go has shown us - smaller and cheaper rarely go together. If anything, we would expect that the introduction of a PS3 slim model would cause the price of existing stock to go down, but we are highly suspect of any price reduction in new hardware. Since Backwards Compatibility and a few USB ports were removed in the budget version, there really isn't anything left for Sony to cut from the existing configuration to make it less expensive. And no, unlike apartments and diamonds, processors do not get cheaper when they get smaller. This could be a major reason why Sony was reluctant to show off the PS3 slim hardware at E3, fearing that price, rather than size, remains the number one issue for consumers."

[clinker]

Well, the PS2 slimline was introduced at basically the same price as the original PS2 hardware, which was subsequently lowered. I would expect the exact same pattern to happen here: PS3 Slim at 399, with the original gradually phased out and discounted to $299 or something.

But it is true that believing a PS3 Slim would somehow be the CHEAPER option is totally delusional.

[StanLee]

But the PS2 was on the market for a much longer period before the PS2 slimline was introduced. We're barely two and a half years into the console's lifecycle. I really don't think a slim PS3 is a very good idea. The PS3 has no identity with the mass consumer; the console itself isn't mainstream recognizable. To introduce a redesigned SKU hurts more than it helps penetration. It's confusing to the consumer.

[randomwiz]

The thing is, they released the ps2 slim when they had success with the ps2 and they could afford to make it look more stylish. There is no reason for them to release a more expensive ps3 slim, because consumers don't care about the style of the ps3, they're looking for a price drop. No one pressured Sony for a price drop with the ps2 slim.

And they could make a cheaper ps3 slim, but it won't be much slimmer. Think about it. The original 90nm cell chip used 200 watts. The newer 45nm cell chips now use 80 watts. This means that the newer ps3's will be quieter and they will require less cooling, which means smaller, cooler, quieter ps3's.

[La Chance]

Its only been 2 1/2 years and already a slim !? Its just too early.

In MY opinion the slim is going to cost as much as the PS3 and its just Sonys way to try to boost the sales a little because they probably cant afford a price cut.

[locos85]

PS2 slim came 3 years after launch, PSP slim came 3 years after launch. I wouldn't doubt a PS3 slim to come soon. This November will be year 3

@ Below:

Well depends on where you live. PS2 was released in the US in October 2000. Slim was released in November 2004. So that's 4 years 1 month. I was close. I didn't want to go into too much detail.

[StanLee]

The PS2 was released in March 2000. The PS2 slim was released in November 2004, 4 years and 8 months after the PS2 launched.

[mastiffchild]

Usually I'd give this some credence. Reducing size does mainly, for a while anyway, increase the cost of things.

However, why in the world with everyone and their wife moaning about the price of a PS3(hell even devs and pubs other than Activision are now doing it!)would Sony invest the extra resources at this time into making a dearer PS3? They just wouldn't.

All their efforts of late have been in seeing what can be cut and where they can get cheaper parts in an attempt to REDUCE the price for both Sony and the consumer. Would a dearer Slim PS3 be a nigger seller than what they already have? I doubt it in this economy-noone will want to pay more for something as minor as a size alteration with no extra features(and likely even fewer)that wasn't already happy to buy a normal PS3.

Imo, if it's gonna come it just MUST be cheaper or all Sony will do is waste the money they spent on R&D to make the slim [possible at all. If it arrives and IS dearer just watch the stink go up from the media-Sony would be hung out to dry. So, again, why make it if it's gonna be more expensive? On this occasion it makes little sense-and perhaps none at all.

[Blaze929]

The PSP Go! is coming out...slimmer...smaller, less parts, been out for 5+ years....but coming out at $249.99? Who knows, for the ps3 slim it may not be cheaper at all. Cheaper for SONY but for us, hell no.

[gaffyh]

@1.3 - The PS3 Slim is more of a way for Sony to cut their manufacturing costs. Uses less plastic and parts = cheaper to make = they can afford a price cut whenever.

I also said something like this, I think Sony will discount the normal PS3 by $50 when the Slim is announced. Get as many sales as possible, then when the PS3 Slim is released (at either $349, or $399) I think they will further discount the old one by $50 to completely get rid of stock.

[Sitdown]

I am hoping you meant "bigger" seller.

[Jaces]

Slims usually consist of less components (costing less to produce) that where not needed in the final build of the first version of the PS3, so I can see a price cut pretty soon.

I mean there's pretty much no other reason to make a smaller system, sure it's a plus being able to move it around and travel with it rather than that 20 pound monster that's out now..other than that I see no other reason to make a slim version.

[Beast_Master]

I keep saying this and no-one listens... PSP Go is cheaper for them to make and they will make 100+ bucks for everyone they sell, which will be the buffer for whatever they lose on PS3/slim price cut. Sony already annouced a price cut at E3 when they said they would sell 13 million consoles in a year. Considering they are behind last years 10 million pace and only one system seller (GoW3) they have to cut price before Dec. Even if they release their second system seller (GT5) this fiscal year they will still not sell 13 mill without a price drop. It is coming, my guess is OCT 1.

[Milky]

The phat ps3 is sold at a loss at £300. The PS3 slim will be sold for a profit at £300.

If the slim was sold for £200 it would still be at loss (probably).

All Sony are trying to do is gain profit from every PS3 sold. I think the slim will do that for them by selling it at the current price.

[sniper-squeak]

I hinted this in another post :)

[phosphor112]

Less materials, less cost, more revenue. They would finally break even. Slim PS3 would support 45nm chip compared to the current 64(?)nm. That will result in less power consumption, meaning less heat, and less heat sink materials, leading to less costs. Not only that but the cell, XDR ram, and RSX have all become cheaper, not to mention hard drives and BD players. The cost will be so much less for Sony that they will eventually be able to drop the price.

[lloyd_wonder]

Because Sony forecasted 13mil PS3s sold this FY -- up from the 10mil sold last FY.

/article

[The_Beast]

:D

[PirateThom]

I still say the phat will see a reduction and the slim introduced at the current phat price point and the slim only coming down once the phat is sold out.

[Pennywise]

I think the slim will actually be cheaper because of features that will be excluded from the model.

It doesnt make sense for Sony to redesign their machine to just turn around and sell it at the same price all these people have been complaining about.

It HAS to be cheaper. That is the only reason Sony would be sinking more money into a new design. Just my thoughts.

[kewlkat007]

Seriously how much more could you strip the PS3?

Well besides the chip but Sony is still loosing money here...and is not making much of anything on the PS3. The economy does not help the situation.

Take Blu-Ray out and problems solved...lol

[locos85]

Maybe they take out the WI-FI? But there is nothing left for them to take out. PS3 is not a PS3 without blu-ray.

[Pennywise]

First off, its funny you say that being the PS3 has more features that your xbox.

Second - Its more of revised parts than stripping anymore. Slimmer bluray with a tray instead, cheaper material for the case, just re-engineered stuff to cut costs.

[PirateThom]

Wi-fi won't go, it costs next to nothing and it gives Sony the "PSP/PS3 compatibility" edge.

[cyclindk]

Large cokes cost more than small cokes, same with fries, duh...

[MetalGearBear]

can't wait on PS3 Slim!!!!

[Shadow Man]

if u want DEAD ISLAND really bad!!!!
BUY XBOX360 Slim!!!! LOL

[Gue1]

What is Dead Island anyway?

[Marcelles25]

this retarded game thats best feature is deformation of a zombie character when you shoot him it peels away the skin red meat white meat then unveils the bone its pretty cool actually but the overall game looks stupid and plus its not coming till late 2010

[zok310]

It would make the PS3 profitable faster, as a slim model will have less and cheaper parts installed, but you would still have the same functions.
Sony would make a ton of money very fast on the PS3 slim priced at $399 all leading up to a descent price cut at the beginning of their next fiscal year.
Sony is doing what Nintendo did the last 12 years, focus on profit and not marketshare, invest heavy in 1st party game support, and drive and control the system sales yourself.. almost cut out the middleman (3rd party games). Look who far the PS3 have come with not so great 3rd party support and at its $500-$400 price tag, Sony must is doing something right.

[StanLee]

I understand all that but a new SKU isn't the answer. It's a stop gap. I think a new SKY will slow sales because if you drop the price of the old SKUs, you're still selling them at a lost and if you don't drop the price and introduce a redesigned SKU at a higher price point, you don't accomplish anything.

[DJ]

Than the PSP Phat, everyone's predicting the PS3 Slim will be cheaper than the original PS3.

PSP Go has a cell-phone style redesign and 16GB of internal memory, something the original didn't have (as well as the addition of Bluetooth). PS3 slim is supposed to eliminate a few more opulent features, but still keep the same functionality as the original.

[dragonyght]

what he said although psp go is not a slime version of the psp its just a remake tho the remove the umd slot it have more moving part since it can be slide up and ya 16gb I.M arent cheap

[herculese1]

I think if it has the same specs as the current ps3s out there then it will be the same price. If they drop some features out of the slim then i can see them dropping the price. Also i would bet that they drop the price of the normal ps3 and then just replace the inventory with the slim one at the newer lower price point.

[clinker]

An Xbox 360 slim would be sick! Now there's a console in need of an aesthetic overhaul...

[Pennywise]

Sick how many people would die and houses burnt down. I can already see all the cats without hair and 3rd degree burns.

[La Chance]

Booooooriiing.

Yaaaaaawwwwwwwwwnnnnnnnn.

But hey I guess a Sony fanboy will find that "hilarious!!!"

@CLINKER:yeah an xbox slim would be really cool, I hope they'll be one when Natal launches. I agree with you that the 360 design is kinda "boring" or outdated, I dont know which one it is lol.

[Mr_Potato_]

@La Chance : yeah and I guess a MS fanboy would feel butthurt because of this joke

Wait, I don't have to guess, that's what just happened in your post.

[Pennywise]

Mission accomplished.

[La Chance]

ohhhhh I wont sleep tonight !! pennywise made a horrible jooke ahhhhh

Oh man I feel hurt !!!!

[Roper316]

the ability to load an alternate OS such as linux. Either way I already have all 3 consoles so I could careless about this or a price cut.

[-EvoAnubis-]

I see where they're coming from in their argument, but it's flawed. The PSP Go is more than just a "PSP Slim." It's an updated PSP with a new form factor and a few new tricks. Features were added, like Bluetooth and internal memory.

The PS3 Slim is another story. That is a pure cost-cutting move to give everyone the price drop they've been whining about since...well, since the PS3 launched.

Totally different situations.

[Pennywise]

Get out of here with your rational thoughts... This site is for bickering.

umm /s

[Kushan]

People are probably predicting it because they WANT it to be cheaper. If sony can pull that off, it'll benefit PS3 owners and developers everywhere.

[JonnyBigBoss]

It makes sense. That's why.

[vx]

Xbox slim + RROD = Star Trek Spaceship hahhaa

[gumgum99]

I said it before and I'll say it again:

Its just too early for a PS3 slim to drop in this year. It just ain't gonna happen. Maybe it'll happen next fall, or in 2011, but that's as early as you can expect one if we are talking realistic.

[DuneBuggy]

Would many people really care if it was physically smaller?
Its not like the PS3 requires garage space to fit it in your home.

[Agheil]

People come to believe that the slim would be cheaper because it would cost sony less to make them then there original ps3 which would most likely be taken out of the market because they lose about 50-100 for each one they sell meaning that the new ps3 would either be cheaper or go out at the same price as the current ps3

[ForROME]

It Has to be, and SONY knows this anything more than 299 is going to get killed, not to mention when they announce the slim, with 299 thats 2 birds one stone, creating buzz, press and price all in a hit, they wont pass on that.

The chips have been smaller for quite sometime, look at the back of a new 80 the board sits pretty far in. The only reason the old shell is still being used around it is likely do to surplus supply of cases.

Next even if it did shrink, it means less to produce with a less produced case equals less money. The PSP is actually a different kind of market.

This isnt done for style its done to save money it just so happens that it gives them a chance to put a new cost saving case around it as well.

Case and point, it will be 299

[Monteblanco]

PRICE IS NOT CORRELATED WITH MANUFACTURE COST. This is a lesson people seems to not get in the game culture. Sony will try to keep the price as high as they can as they are suffering from accumulated losses over the year. I am pretty sure the new PS3 Slim will be cheaper to manufacture than the old version. However, they will apply the same tactic they are using with the PSP Go. They will keep the same price to maximize their profits as the sales increase due to the introduction of a new model. They will eventually cut the price, but only after a few months of reduced manufacture cost and high demand during the holiday season.

[Poopface the 2nd]

I see them releasing a Slim PS3 for 399 and dropping the price of the current ps3. It will be cheaper to make both versions of ps3 when the chips get smaller. If the slim is cheaper depends on other parts they use like BR drive, wi-fi or less usb ports etc.

I think sony will see the slim as a selling point and expect to sell more of them at the 400$ price than the current one. Because most people will want the slim over the fat. And For the people wanting a price cut, they will get it but will have to get the fat model.

Now if there will be another price drop for the slim after selling all the old stock will depend on how well the new version is selling.

obviously, sony sees a smaller, sleeker console as a selling point since the psp go is more expensive than the old one.

[Blades08]

If you follow the way the last couple of PS3 sku's, the newer one is at the same price and the older ones get a price reduction until sold out. Then you get a price cut on the new one if sales go well. The only bad thing is with every new sku sony takes out some things, so you actually get a little less then the previous sku's, but that's how they will be profitable and give everyone a price cut down the road.

[keysy420]

no price cut coming

[Poopface the 2nd]

because they are .

[JJFNIGHTS80]

Their no such thing as PS3 Slim.