As is usual with new consoles, Sony won’t be making a profit on the PS4 hardware at launch, Eurogamer reports. However, Sony expects some profit from users signing up to PlayStation Plus and purchasing at least one launch title. Sony is selling the PS4 at a loss of approximately $60 a unit – around the cost of a game in the US.
The small loss on each unit makes the PS4 more competitive against rivals, but eventually, the console will turn a profit once Sony find ways of reducing the cost of manufacturing and prices of components go down. If every PS4 owner purchases a launch title and a PlayStation Plus subscription, this loss is negated.
Masayasu Ito, a Sony Japan executive expects that they’ll turn a profit with the PS4 sooner than they managed with the PS3.