PlayStation 4 costs Sony $381 to make, according to IHS report

By Stephany Nunneley, Tuesday, 19 November 2013 16:56 GMT

PlayStation 4 costs Sony $381 make, which according to a report on AllThingsD, is just $18 under the consumer cost of $399.

The information stems from a teardown analysis from research firm IHS and will be released sometime today. The AMD processor cost Sony $100 and the 16 memory chips $88 while the Seagate hard drive was $37. Wireless Marvell and Skyworks chips and the optical drive cost the firm around $28.

“This [350 square millimeter chip] is just gigantic,” said IHS analyst Andrew Rassweiler in the report.“It’s almost three times as big as the next biggest chip we’ve seen.”

IHS also said the DualShock 4 controller cost Sony $18 to build and includes: a motion sensor chip from Bosch, Qualcomm Bluetooth chips and and audio chip from Wolfson Microelectronics. Since Sony takes a cut on PS4, it makes up for it with DualShock 4 costing $60 when sold separately.

IHS figured it cost Sony $805 to build PS3, which debuted at retail for $599 and like the last-gen console, Sony will be making up the profits through its games.

PS4 is out now in North America and releases in Europe on November 29.

Via Gamespot.

Sometimes we include links to online retail stores. If you click on one and make a purchase we may receive a small commission. For more information, go here.