[citation][nom]jaragon13[/nom][/citation]
They don't.They might lose profit over regular retail profits if the parts were sold on newegg.com or something(blu-ray especially) but it really doesn't cost as much as people think it does.I'd say it would cost ~120-200 USD to make a PS3.[/quote]
Actually, yes, they do lose money of the sales of consoles and it costs significantly more then 120-200 $ to produce a single unit. When calculating the cost of a good or unit you need to calculate various things like the R&D required to create the unit and so on so forth, you cannot just look at the cost of raw materials and production. Currently, Sony, Microsoft and Ninendo all loss money on every console sale, the profit is in the game sales. This scenario is similar to printers, HP, Cannon, Lexmark and so on all lose money on every printer sold, they make the loss back with the sale of ink.
James