The actual cost of an Xbox is over $300. Read
this article from The EE Times that gives a
break down of the unit cost. Right now Microsoft is losing $150 for each console sold, but they plan to make up the difference in game sales. Just
look at the
sales figures for
Halo2.
Integrated Circuits = $92
Discretes = $38
Modules = $5
Connectors = $10
PC board cards = $29
SMT assembly = $10
Testing = $5
DVD + Hard Disk = $90
Enclosures = $31
Final Assembly = $1
Accessories = $4
Total Cost = $323
source
[edit on 8-2-2005 by dbates]