Quote:
Originally Posted by monkeywrench
I think you are right. We won't see this thing any lower than $200 dollars any time soon. I do think that how well Sony does with Connect can play a role in the price of the device though. I would look at it much like a cell phone. If Sony is able to sell enough books in the Connect store they may be able to sell the device at a loss and subsidize the loss with book sales. This would be much like taking a loss on a cell phone because they are making enough off of the service.
|
Sony can afford to sell, say, the PS3 at a loss because, as you say, they make money from the games. I'm not sure that this business model works for an "open" device like the Reader, however, where there are lots of different sources of content for it. People don't have to buy their books from Connect, unfortunately (from Sony's point of view, that is), so Connect can't afford to sell books at higher prices than other sources, or people would simply go elsewhere.