What do you think the margins are on this thing? You know how much the components cost, it’s not hard to figure out about how much it costs them.
Considering their ceo bought a 500 millions dollars yatch last year to add to his fleet of mega yatches i believe their margins are super high. A corporation doesn’t pay for components the same amount you pay from a retailer.
Buddy, I hate capitalism… But I also know how it works.
Valve has more than one revenue stream, that means that they can afford to take a loss on something like hardware because it usually means increased game and peripheral sales.
This isn’t unique to Valve, Sony and Nintendo are well known for selling hardware at break even (or small loss). These are billion dollar corporations.
Can you really not grasp how simple minded it is to see the CEO of a company (for decades) buy an expensive yacht, and assume that must mean that this one specific product that’s only a few years old, must have large profit margins? Despite literally all evidence saying the opposite?
That’s just not how it works, dude. Just take a moment to think about what you’re actually implying.
The component price changed, what was Gabe supposed to do, start manufacturing its own RAM?
That would be amazing timeline
Dreaming about Pipe RAM by Valve.
They are swimming in billions, they could easily lower the profits they make and give it away for cheaper but that’s not their goal.
What do you think the margins are on this thing? You know how much the components cost, it’s not hard to figure out about how much it costs them.
Profit margins on consoles are razor thin already, and that’s before the skyrocketing price of components.
I’m sorry if that means your mom can’t afford to get it for your birthday now, but it is what it is unfortunately.
Considering their ceo bought a 500 millions dollars yatch last year to add to his fleet of mega yatches i believe their margins are super high. A corporation doesn’t pay for components the same amount you pay from a retailer.
So Gabe made the Steam Machine with super high margins, sold out, and then went back in time to buy a yacht last year?
You do realize that they just started selling this device, so any wealth he may have had last year is completely unrelated.
by now they have been selling hardware for a decade
And the Steam Deck was widely reported to have razor thin (if not negative) margins.
thin as valve ceo new 500 millions mega yatch
Buddy, I hate capitalism… But I also know how it works.
Valve has more than one revenue stream, that means that they can afford to take a loss on something like hardware because it usually means increased game and peripheral sales.
This isn’t unique to Valve, Sony and Nintendo are well known for selling hardware at break even (or small loss). These are billion dollar corporations.
Can you really not grasp how simple minded it is to see the CEO of a company (for decades) buy an expensive yacht, and assume that must mean that this one specific product that’s only a few years old, must have large profit margins? Despite literally all evidence saying the opposite?
That’s just not how it works, dude. Just take a moment to think about what you’re actually implying.