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According to a teardown analysis of Kinect for Xbox 360 performed by UBM TechInsights, the bill for the parts needed to form a Kinect runs to roughly $56/£35.
A third of this cost is attributed to the PrimeSense reference system, including the cameras, microphones and processor.
“Basically, the strength of the design is the huge design win for the Israeli fabless company PrimeSense,” said Allan Yogasingam, a technical marketing manager at UBM TechInsights. “They’ve provided the most innovative portion of the Kinect with their image processor, audio and video interface.”
Kinect for Xbox 360 launched earlier this week, priced £129.99.
Via EE Times
Microsoft has confirmed it makes a profit on each Kinect unit sold, but it won’t be as high as the £35 cost its component parts suggests. This figure doesn’t take into account the cost of manufacturing each unit, packaging it and shipping it off to retailers. Then there’s the margin for the retailer itself and the fact the package includes a game and power supply.
And don’t forget the all-body controller cost Microsoft hundreds of millions to develop.