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PlayStation 4 $90 Cheaper to Build than Xbox One

by Joey Davidson | November 26, 2013November 26, 2013 11:00 am PST

It’s costing Microsoft $90 more to build the Xbox One than it’s costing Sony to build their PlayStation 4.

Research firm IHS gave its findings to AllThingsD for an exclusive look at the cost disparity between the Xbox One and PlayStation 4. The largest cause for the $90 gap? You guessed it: the brand new Kinect.

The PlayStation 4 costs $381 to build, according to IHS. That includes the system and controller that comes with it. The Xbox One, Xbox One controller and Kinect total at $471. The Kinect itself makes up $75 of that amount.

The good news for both companies? They aren’t selling their consoles at a loss, which is huge in the gaming industry.

The other surprising tidbit from the teardown? The massive external power supply that sits outside of the already big Xbox One costs Microsoft $25 to make. Ouch. Not only is it good for bludgeoning your friends, it’s good for bludgeoning manufacturing costs.

Do you think the Xbox One and PlayStation 4 are worth their respective retail prices?

AllThingsD

Joey Davidson

Joey Davidson leads the gaming department here on TechnoBuffalo. He's been covering games online for more than 10 years, and he's a lover of all...

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