They are still losing money.
A) they don't sell the systems for 400$ to the retailers
B) Shipment cost are not included in the manufacturing cost
C) Not all system cost the same.
They could be making up the money in Europe/Australia though because they systems are overpriced over here.
Krigon
Point is, they are not losing a straight 250$ per unit made/sold anymore. Big big BIG plus as it contributed to a $2 billion dollar loss for Sony in the last year or so. Sony never really plans to make money off their consoles, it's the games. It's the same business model they used for PS2 and was widely successfull. (as you can see the PS2 still outsells the XBOX360, sadly, due to it's low price and 3000 game count) Everyone thought the PS3 would just bankrupt Sony and flop or get discontinued. But it's the PS2 all over again. And in a few years this puppy will be the best console out there due to it's intense hardware which will definately last through multiple generations of new age gaming, and by then all the developers would have learned to properly code for the cell processor. I'm definately buying one of these by summer time. Hopefully there will be another price drop by then :)
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