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Old 10-02-2007, 04:28 PM   #27
delphidb96
Wizard
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Posts: 2,999
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Join Date: Jan 2007
Location: Citrus Heights, California
Device: TWO Kindle 2s, one each Bookeen Cybook Gen3, Sony PRS-500, Axim X51V
Quote:
Originally Posted by NatCh View Post
The obstacle there is that until the production costs on e-ink go down, Sony et. al. can barely buy just the display panels for $200. I don't think we are likely to see them selling these as a loss-leader unless they're confident they can make it up in book sales, which they're evidently not.

That's not *exactly* the case. For a major manufacturer - such as Sony - it would be possible for them to get the 6" display for closer to $120-$125 per display, as long as they're capable of ordering in quantities of 10,000 or more per order. Or so I think I remember from when we were talking to PVI. Then toss in the cost of the SBC, the case, the display controller board - yep, that's separate from the display - and other items like the on-board charging adapter if there is one, the packaging, the USB cable, etc. - and you're looking at about $200-$225 per device at that quantity - and that's *THEIR* cost. Of course, being able to order in quantities of 50,000 or more drops those costs down. but then you have to add in the MSRP markup... Given 100,000 quantity orders, I rough-guesstimate the PRS-505 probably runs them $150/unit out-the-door. And they're probably wholesaling them to the retailers for $225. But Sony's not going to sell the readers for less than what they expect the retailers to charge or they'd grab all the sales from the retailers.

Derek
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