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Sony may outsource production of the Cell processor

Discussion in 'News' started by zekrahminator, Feb 14, 2007.

  1. zekrahminator

    zekrahminator McLovin

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    Sony knows just as well as any of us do that $600 for a console is simply too much, especially when compared to a $250 Wii and a $400 Xbox360. And so, Sony is looking for ways to lower the price. The best one so far is to find a way to cut chip spending, and to do this, they need to outsource Cell production. This isn't as desperate as it may sound. Sony has been making their own chips since the birth of the PS1, but costs have been becoming quite steep as of late. Sony has spent $3.8 Billion USD since April 2004 on chips alone. The only thing preventing them from getting another company to develop these chips for them at a lower price was a lack of said companies. Now, there are several options for Sony, and Sony will likely outsource Cell production to bring their costs down.

    Source: 1Up
     
  2. WarEagleAU

    WarEagleAU Bird of Prey

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    This is good news. I would have though the proc and the BD player were the expensive portions of the PS3
     
  3. jocksteeluk

    jocksteeluk New Member

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    one thing positive to say about Sony is when they manufacture something themselves you can guarantee the build quality will be exemplary but when they outsource (EG: Laptop battery's) you can almost guarantee future problems to arise. The Cell chips are a complicated chip to manufacture and i can see a lot of inferior made 3rd party made chips causing Sony problems.
     
  4. kwchang007

    kwchang007 New Member

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    hmm, this could go either way. either there will be lots of recalled ps3's due to outsorced chips, or ps3 prices should plunge. any word on how much this kind of ps3 would cost?
     
  5. KennyT772

    KennyT772 New Member

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    well what if they outsource to intel or amd? ibm even. who knows where things would go. when was the last time you had a doa amd or intel chip?
     
  6. kwchang007

    kwchang007 New Member

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    doa? dang, if they outsourced to one of the big chip makers, they'd have no problem, and the cell would be way cheaper
     
  7. Wile E

    Wile E Power User

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    Didn't Sony co-develop the cell processor with someone else?
     
  8. kwchang007

    kwchang007 New Member

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    i think it was ibm
     
  9. Wile E

    Wile E Power User

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    I thought that's what I heard. If it is true, it makes perfect sense for Sony to hand production off to IBM.
     
  10. kwchang007

    kwchang007 New Member

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    yeah. espically since ibm has been making chips for consoles since....a long time ago, i think.
     
  11. Wile E

    Wile E Power User

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    They make the 360's chips.
     
  12. kwchang007

    kwchang007 New Member

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    ok. i wonder how much they could bring the ps3's price down by outsourcing? or maybe they'll keep prices the same and not lose so much money on it :(
     
  13. Wile E

    Wile E Power User

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    I don't know, but I think $500 wouldn't be too bad of a price for the top model.
     
  14. kwchang007

    kwchang007 New Member

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    yeah, which should push the low end to $400, putting it at an even price with the 360. and considering the ps3 has a blu ray player, there would be no doubt about which one to get.
     

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