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  • Blue Laser Costs Coming Down; Could PS3 Price Cut Be Far Behind?

    Sony is ramping up blue laser diode capacity for its Blu-ray players much faster than we anticipated, and the costs are coming down. A price drop on the PS3 this year is starting to seem more and more likely. Wedbush Morgan analyst Michael Pachter tells GameDaily BIZ that PS3 could cost 100 dollars less by mid-year.

    The Blu-ray drive in the PlayStation 3 has been a source of much contention among industry observers. The inclusion of Blu-ray in the PS3 is one of the main reasons the console is being sold for $600. But as with any product, economies of scale should help to eventually bring costs down.

    With Blu-ray, however, it could be coming faster than we think. Sony's Sony Shiroishi Semiconductor Inc. subsidiary recently announced that as of April they established an industry-leading monthly production capacity of 1.7 million blue-violet laser diodes. Moreover, Shiroishi "has already made preparations to further reinforce production capacity based on future demand." Sony would probably claim that they're easily winning the next-gen movie format war, with Blu-ray outselling HD DVD more than 2 to 1, and the company believes that demand for Blu-ray will only increase, whether through PS3 adoption or standalone Blu-ray players...

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    Tuesday, May 01, 2007
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