View Full Version : Speaking of controllers:
Blaze Lord
22/Feb/06, 01:53 AM
http://www.eetimes.com/showArticle.jhtml?articleID=180201706
Apparently the controller, before shipping and packaging and so forth, is costing Microsoft $11 to make. Wal-Mart (http://www.walmart.com/catalog/product.do?product_id=4196266) (yes, yes, evil company, but decent barometer of conservative retail prices) is $50. 11/50=.22. So 22% of retail.
Killer 57
22/Feb/06, 02:03 AM
so are we getting ripped pf here or what?
sharplayer
22/Feb/06, 02:10 AM
I dont get it. Who makes more profit?
Blaze Lord
22/Feb/06, 02:18 AM
The general idea is that this is pretty expensive. I don't think so, though, because usual retail mark-up is 50%. So add in packaging and shipping, and Microsoft's not really gouging. They just definitely aren't taking the hit that they do with the console.
It does not cost 11 dollars to make a controller like that which is programmed with the lights to moved on cetain ques and such. I beleive that is wrong, 11 dollars is not the price for the wireless controller. I can guess 30-50 at the least, but that is just way to much of a profits space for the big MS. It is almost freaky to imagine they would rip us off in such a high percentage like that, but than again it is Microsoft. :unsure:
Blaze Lord
22/Feb/06, 05:14 AM
...I don't think having moving LEDs would really cost that much money, Steve.
And, once again, I'm pretty sure that average retail markup is 50% of retail price. That means Wal-Mart is buying them at around $25. Which means before shipping and packaging, Microsoft is making $14. Not that much, considering the hosing they took when I bought the console. Essentially, they paid me to keep a 360 in my house.
mjmaskrey
22/Feb/06, 06:30 AM
I'm not too bothered who is making profit as I think the controller is a decent price and in line with other 1st party console controllers.
At the end of the if no-one was making money off them no-one would want to stock them.
:)
Blaze Lord
22/Feb/06, 07:52 AM
Oh, plus.
My wireless Xbox controller is the best controller for a console I've ever had.
It does not cost 11 dollars to make a controller like that which is programmed with the lights to moved on cetain ques and such. I beleive that is wrong, 11 dollars is not the price for the wireless controller. I can guess 30-50 at the least, but that is just way to much of a profits space for the big MS. It is almost freaky to imagine they would rip us off in such a high percentage like that, but than again it is Microsoft. :unsure:
11 dollars for the controller is quite believable, when you're maybe talking a couple of bucks on the LED's, 3 bucks on cheap ass labour, 5 bucks on the bluetooth and a buck on moulding the plastic for the controller in mass.
WACCOE
22/Feb/06, 06:25 PM
Surely the controller would have cost about $3 dollars at most to make! :brow
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