oh... so consoles will finally be able to surpass my 5 years old ATI 4850... nice... not to mention the combined power output from my phenom II x6 1090T and 8GB of ddr3 1866Mhz...

so according to this the ps4 will have more compute power then a radeon 7850? yeah i'd like to see the actual hardware to back that up. I don't see how when they are going to sell it for 350 to 400 dollars when the radeon 7850 is half the price of the console itself, unless sony plans on taking a massive hit for the next 3 to 4 years with all that research and delveopemnt fees, which wouldn't make any sense if they expect to gain a profit from the ps4 within the next 4 to 5 years.

it's not?

http://www.newegg.com/Pro...KfE--aW9rQCFQf0nAod9h8Alw

the set price tetherd into the research and developement fee cost whatever the cost was for that hardware during the start of the mass production is the set cost for the next 3 to 4 years until the research and developement fees which includes all the hardware that goes along with it until it is paid off. which is why console prices don't start dropping from its original price until 3+ years after those research and developement fees are paid off and the hardware is no longer tetherd into those set cost fees.

Well everyone knows that buying directly is cheaper so is by the bulk but you also have to include taxes and shipping fees as well so at the end of the day they aren't getting a lot less cheaper deal then retail.

The 7850 is a high midrange gpu. and the 8000 series along with the GT 700 series aren't going to be based on a totally new arch, which will end up making both series refresh series of the current series out now. So there shouldn't be that much performance increase over the last series much like with the GT 4xx and GT 5xx series or the Radeon 5xxx and Radeon 6xxx series were to each other.

i never said they were contracted in the same way. i stated that with the taxes and shipment fees in the end they aren't going to get the hardware a lot less. Sure they will get it cheaper and they are paying for that hardware by the bulk, but after taxes and shipment cost in which to account for the end result of that hardware is closer to what it would cost retail with a unit to unit figure.

you said that there isn't a 7850 for that much and i simply pointed out that 7850's run at the 200 dollar price range as well.

The hardware is thethered into the research and development fees whatever the cost was when mass production started is tethered into that set cost for the hardware as well.

There is a key diff between retail price reduction for consumors and whats been contracted with developement, becaue everything with that console is tethered into the production of those fees until those fees are paid off, which again is why consoles do not fall int price until those fees are paid off where anything that was once in developement under those fees are no longer binded to whatever the set price was when the developement of that console went into mass production.

actually whatever sony is paying for the 7850 will be a set price for the hardware beacuase the develepoment for which the hardware is under is tethered into those fees. like i said this is why console prices dont' go done until after 3 to 4 years. it's like a buying a new car with a loan you are still going to pay for what you bought it for, for the next 5 or 6 years regardless if that car drops in value, because the loan in which you needed to buy that car from your bank was set at that price when you bought the car until you pay the loan off. your loan doesn't get smaller because your car drops in value each year. Same for these developement fees they have to pay off these fees and whatever the set prices were with those fees is a set price from when they first began production until those fees are paid off and because the hardware is tetherd to those fees as apart of the develelopment that price doesn't change due to the fact that it's tide into those research and developement fees.

That was not the actual cost of the xbox 360 and ps3 to produce, the xbox 360 and ps3 were selling their consoles at a loss when they first came out. The xbox 360 and ps3 cost more to produce then what they were selling it for, and to offset this loss they count on demand. as long as the demand is great then it will help them turn a profit.

yes you are correct but the profits in which amd will get out of this is going to help them make money. either way you look at it it, it's win win for amd. AMD might not be making the same money as they would selling retail, but they are making money off of these consoles or else they wouldn't be doing it if they weren't going to make a profit off of it.

400 bucks for a box with ATI 7770 similar?? LOL

they aren't completely seperate they are tied into the the whole cost of the agreement which is tied into the development cost itself. And yes i did look at the chart and the chart comfrims that. that chart said nothing about reduction of cost due to value in the retail segment it was a set figure cost of the developement for the next 3 to 4 years as part of the fees.

they are only to drop the prices once the development cost and research fees are paid off. So yes they are fixed

Nodes don't effect cost. the xbox 360 were selling their consoles the same price for the first 3 years even when it went through diff changes in the hardware spectrum on the gpu and cpu side.

Yes and when did the xbox 360 had finilized specs and started going into mass production? way back in 05 so 05 06 07 thats 3 years before the prices dropped on their manufactioning which means their fees were paid off by then to start to see a reduction of prices across the board thus 3 years.

ok and did sony and micrisoft sell their consoles at a loss when they debuted? yes which goes back to what i was saying that these companies don't start turning a profit until 3 to 4 years after the development fees and everything else that was tethered into that development agreement was paid off.

no one said the 7850 did. i stated that they aren't getting it for a lot less when you tie the cost of taxes shipping and everything else either that many online retail stores you don't have to pay for which isn't account for for their overall cost. plus amd is in the buisness of making a profit. if there was little to no profitable gain invovled then they wouldn't do it.