1. Student: Ryan Jones Student Number: 429495 The American Mind (2006) Para. 4

2. Introduction  I will talk about how Environmental factors such as Legislation, ethics and marketing competition affect the price of the Sony Playstation 3

3. Legislation  Sony signed contracts with the Electronic Waste Company to effectively dispose of Playstation consoles for the whole of Europe This is to deal with an estimated 250 tonnes, or 300 000 cases in the first year alone The Electronic Waste Company pledges to recycle and reuse 100% of the equipment. None of the collected materials will be sent to landfill Video Gaming 247 (2008) Para. 1

4. Legislation Continued  The playstation has an automatic power saving update that can turn off controllers and the console after a set period of inactivity. This saves power, thus making the console more energy efficient. It will also turn the console off after any background downloads/installations have finished Because of this, the console will prove to be cheaper for owners as it will save on electricity bills. Jim Reilly (2008) Para. 13

5. Sony’s efforts to help the environment  Sony have been working on a new way to turn vegetables into plastics They are hoping to soon get these new 100% green plastics into all their products within the next couple of years Sony has also announced that in 2006, they recycled plastics at an industry high of 16 000 tonnes. This could effectively reduce the cost of Sony products as the plastics will not be made from the beginning of the plastic producing process. Sony (2008) Paragraph 4 & 17

6. Sony’s efforts to help the environment

7. Cost summery  Sony are currently producing a standard 20GB playstation 3 console at £523.90 (or $805.85) and are being sold at £300 (or $499) meaning that Sony are losing an estimated £223.90 per unit sold Wikipedia (2008) Para. 16

8. Costs summery  In an effort to reduce production costs, Sony have started using an IBM cell processor in their playstation consoles that run on only 80 watts as apposed to the first cell processor used, running on 200 watts. This would save 40% of power This smaller cell is made possible by new technologies to create smaller transistors. Sony, although saving themselves between £75- £100 per cell processor, have not announced any plans of a price cut for their hardware due to the massive loss per unit sold. Joystiq (2008) Para. 1

9. Costs summery

10. References  The American Mind (2006) Sony Says PS3 Problems Fixed. Retrieved November 24 th 2008 from http://moneyandfinance.theamericanmind.com/category/company-news/ http://moneyandfinance.theamericanmind.com/category/company-news/  Video Gaming 247 (2008) Playstation cases to be eradicted by Cornish firm. Retrieved November 24 th 2008 from http://www.videogaming247.com/2008/10/14/playstation-cases-to-be-eradicted-by-cornish- firm/http://www.videogaming247.com/2008/10/14/playstation-cases-to-be-eradicted-by-cornish- firm/  Kotaku (2008) New PS3 & PSP firmware updates detailed, Coming Soon. Retrieved November 24 th 2008 from http://kotaku.com/5062672/new-ps3--psp-firmware-updates-detailed-coming-soonhttp://kotaku.com/5062672/new-ps3--psp-firmware-updates-detailed-coming-soon  Sony (2008) Sony Eco Environment, Retrieved November 27 th 2008 from http://www.sony.co.uk/hub/id/1201538224713/block/3 http://www.sony.co.uk/hub/id/1201538224713/block/3  Wikipedia (2008) Playstation 3. Retrieved November 27 th 2008 from http://en.wikipedia.org/wiki/PlayStation_3#Sales_and_production_costs http://en.wikipedia.org/wiki/PlayStation_3#Sales_and_production_costs  Joystiq (2008) Cell down to 45nm. PS3 production costs to slim too. Retrieved November 27 th 2008 from http://www.joystiq.com/2008/02/07/cell-down-to-45nm-ps3-production-costs-to-slim-too/