Xbox 360 Costs $552 to Manufacture

November 24th 2005 | Games Consoles

The cost of building a Microsoft Corp. Xbox 360 video game console is nearly 40 percent higher than the retail price, technology and microchip research company iSuppli said on Wednesday. The firm estimated the total cost to manufacture and test a premium Xbox 360, the software giant’s sleek and powerful new gaming machine, which debuted on Tuesday, was $552.27, compared with its retail price of $399.

Console makers have historically subsidised manufacturing costs by creating and selling their own video games and by collecting fees from publishers who make titles for their systems. Several new Xbox 360 games are priced as high as $60.

Reuters – Microsoft loses money on each Xbox

Compare prices for Xbox 360 Console
Related Articles:
» PS3, Xbox 360 to Cut Costs
» Microsoft Set to Launch Xbox 360 in China
» Microsoft Xbox 360 HD DVD Drive Review
» Console Price War Will Decide Outcome of Xbox 360 vs PS3
» Nintendo Wii System and Games Markup Details
» Microsoft Rumored to Cut Xbox 360 Price by $100
» Microsoft ramps up Xbox 360 shipments
» Microsoft may offer $100 Xbox 360 games dev kit
» PS3 Costs Sony $800?
» Xbox 360 Costs Microsoft $715 to Make, Profitable by July
» Microsoft Xbox 360 Takes Aim at Sony in Japan
» Microsoft plans 300,000 Xbox 360s at Europe launch
» Xbox 360 Leads Console Wars
» Xbox 360 "Half the Price of PS3" by Late 2006
» Microsoft: New Games for Current Xbox Through 2007
Xbox 360 Costs $552 to Manufacture
Published in: Games Consoles on 2005-11-24