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The Sony PS4 costs ~US$ 1850 in Brazil

Tux

Member
Not sure how much info the below will help since in the end the price might still be phased in over time. Even if it takes 6-12 months, it's certainly better than having to wait for the PS4 four years like it did for the PS3 to come to the Brazilian market.

Anyways, here it the quote...

Interview: Jack Tretton
E3 - 2013: Sony's goal is to offer PlayStation 4-399 bucks in Brazil, says executive (Translated)

CEO of Sony Computer Entertainment of America recognizes, however, that national tax burden is now set to challenge 'affordable'


"Our goal is to offer the PlayStation 4 in Brazil for the equivalent of $399, set for the United States," said Jack Tretton, CEO of Sony Computer Entertainment of America (SCEA). The Executive recognizes that it will be a challenge to deal with the high Brazilian tax burden. The report of the executive SEE found after an event aimed at E3 Sony's operations in Latin America, where more than 1 million sets were sold PlayStation 3 (here, the console was released in 2010). In the discussion below, Tretton detailing features of Playstation 4 and says that is not afraid of the popularity of smartphones and tablets - rival consoles.

Source: http://veja.abril.com.br/noticia/vi...ation-4-a-399-dolares-no-brasil-diz-executivo
 

Metra

Member
Good question. Now how much of the profit margin agreement is related to the stories in Brazil that want a cut of that profit on launch day? Or do you think Sony should pay for your local business profit by essentially dropping the price to $99 US? We already know that many Brazilian will by-pass the middleman and just import the PS4. At least until Sony drops the price and/or subsidizes the PS4 just for Brazil.

Sony is still losing money on every PS4 built. Not as much as the $600 to $900 ratio as the PS3 (which explains the late 2010 release in Brazil the last time). So are you still on this "Sony is greedy" kick when it seems to have to do with your countries tariff/trade law and local business agreements?

I don't really understand what you mean in your first paragraph. Such agreement doesn't make sense with a $1850 price tag. If they'd agree at a more affordable price - like, I don't know, $900 - they'd sell more consoles and profit would be much bigger. That would make sense. Oh, and I don't think that most brazilians will import the console directly. They'll buy it in the "gray" market. The same market that supports piracy. And that's terrible for the industry, as Brazil's the second biggest videogame market in America, second only to the US.

Also, I agree with you, regarding "it's greedy sony's fault!!" criticism. People are upset and, not surprisingly, Sony's taking most of the heat. That's where the "greedy" argument comes from and it's understandable. On the other hand, tax is not the only thing behind this absurd price. There are other variables here, and I'm eager to hear what Sony has to say about it. But even so, I admit that tax is probably the major problem. If we had fair taxes for videogames, this situation wouldn't be happening in the first place. And that's what worries me. People blaming Sony alone, and losing focus on the real problem.
 

BocoDragon

or, How I Learned to Stop Worrying and Realize This Assgrab is Delicious
To paraphrase Marie Antoinette:

"Let them play Master System..."
 

Duxxy3

Member
07zsWGB.jpg


WHO IS RESPONSIBLE FOR THIS MESS :lol :lol :lol :lol :lol

An all gold PS4... the console for the 1%.
 

DopeyFish

Not bitter, just unsweetened
I've heard some people say they're going to buy the XBone because of this, even tough they were going to buy it from Paraguay in the first place. Just out of spite.

what's kind of a double whammy is KI launching with the one... Which was pretty big in south America

they still have a competitive KI scene o_O
 

Tux

Member
I don't really understand what you mean in your first paragraph. Such agreement doesn't make sense with a $1850 price tag. If they'd agree at a more affordable price - like, I don't know, $900 - they'd sell more consoles and profit would be much bigger. That would make sense. Oh, and I don't think that most brazilians will import the console directly. They'll buy it in the "gray" market. The same market that supports piracy. And that's terrible for the industry, as Brazil's the second biggest videogame market in America, second only to the US.

Also, I agree with you, regarding "it's greedy sony's fault!!" criticism. People are upset and, not surprisingly, Sony's taking most of the heat. That's where the "greedy" argument comes from and it's understandable. On the other hand, tax is not the only thing behind this absurd price. There are other variables here, and I'm eager to hear what Sony has to say about it. But even so, I admit that tax is probably the major problem. If we had fair taxes for videogames, this situation wouldn't be happening in the first place. And that's what worries me. People blaming Sony alone, and losing focus on the real problem.

That should have read "retail stores" not "stories." Fixed that typo. As far as what I was implying...I was suggesting that there's a business deal that Sony Brazil and the retail stores are set for launch. There was some articles written about the social classes in Brazil that are way worse than even in the US. It's like the rich and the rest are below average income class. So, in order for the retail stores to get a cut (within the matrix of tax, fees, etc...) it's better for them to sell less consoles initially at a higher price then gradually drop the price over the year. I can't prove this the case (contracts). I'm only speculating. But that seems to be the trend the last time -- except it took longer for Sony to release the PS3 than the PS4.
 

Metra

Member

That's probably the most reasonable article, regarding PS4's absurd price, that I've seen on brazilian media so far. I agree with most of it.

That should have read "retail stores" not "stories." Fixed that typo. As far as what I was implying...I was suggesting that there's a business deal that Sony Brazil and the retail stores are set for launch. There was some articles written about the social classes in Brazil that are way worse than even in the US. It's like the rich and the rest are below average income class. So, in order for the retail stores to get a cut (within the matrix of tax, fees, etc...) it's better for them to sell less consoles initially at a higher price then gradually drop the price over the year. I can't prove this the case (contracts). I'm only speculating. But that seems to be the trend the last time -- except it took longer for Sony to release the PS3 than the PS4.

Ah, I see what you mean now. I've seen some of those articles too. But I don't have much knowledge on the matter to endorse or refute what they're saying.
 

Tux

Member
It's good news, yeah.

This? I suspect that the game sites will be busy deciphering the tax code and corporation trade laws for weeks. At least we've have more data.

A message for the PlayStation Nation Brazil: We hear you!
+ Posted by Mark Stanley / / General Manager, Latin America

"Thanks to all of you who shared your comments about the high price of the PS4 in Brazil. We are also frustrated with the price of $ 4000 real, and soon we will be able to show the reasons. Thank you for your passion and stay tuned for more information. "

Source: http://blog.br.playstation.com/2013...acao-playstation-do-brasil-nos-ouvimos-voces/
 

Brazil

Living in the shadow of Amaz
This? I suspect that the game sites will be busy deciphering the tax code and corporation trade laws for weeks. At least we've have more data.

A message for the PlayStation Nation Brazil: We hear you!
+ Posted by Mark Stanley / / General Manager, Latin America

"Thanks to all of you who shared your comments about the high price of the PS4 in Brazil. We are also frustrated with the price of $ 4000 real, and soon we will be able to show the reasons. Thank you for your passion and stay tuned for more information. "

Source: http://blog.br.playstation.com/2013...acao-playstation-do-brasil-nos-ouvimos-voces/

Unrelated.

I'm done, guys. Sorry, haha. In a couple of days we'll have a new thread about it.
 

Brazil

Living in the shadow of Amaz
OP should add they raised the price of the games too.

To be fair, in that front they raised the price less than one could expect considering how expensive the dollar is right now. Even FIFA costs R$200 on current-gen consoles now.
 

heringer

Member
I can't believe people actually think this price is because of taxes alone. Make no mistake, Sony IS being greedy here.
 

Unai

Member
I can't believe people actually think this price is because of taxes alone. Make no mistake, Sony IS being greedy here.

Yeah, It is hard to believe people are still arguing this is not Sony fault, even though it was discussed to death in this very thread.

I have no idea if it is greedy or just plain stupidity, but sony is the one to be blamed here.
 

ethomaz

Banned
I'll be there Friday through Tuesday. Feel free to drop by the UOL Jogos stand and say "hi", haha.
I'll be there to say hi... I was thinking to go more than one day but I had some trouble on work (my boss didn't want to give me a day off :D).
 

Tmac

Member
S¡mon;86372551 said:
Thank your government.

You blamming the wrong guy.

Fist of all every country have taxes, brazil isnt the exception.

Our taxes are a bit heavier on consumer goods, specially imported ones. Thats for sure.

The problem is, brazilian taxes, as high as they are, aren't like 600%!


400 USD x 2,30 (conversion rate) x 70% tax = R$ 1.560 --- How sony came up with R$ 4000 dont have anything to do with the brazilian government... Blame sony for that price, not the government.
 

Brazil

Living in the shadow of Amaz
New information from Sony coming in about an hour. (Unrelated to the stuff I've been teasing.)
 
You blamming the wrong guy.

Fist of all every country have taxes, brazil isnt the exception.

Our taxes are a bit heavier on consumer goods, specially imported ones. Thats for sure.

The problem is, brazilian taxes, as high as they are, aren't like 600%!


400 USD x 2,30 (conversion rate) x 70% tax = R$ 1.560 --- How sony came up with R$ 4000 dont have anything to do with the brazilian government... Blame sony for that price, not the government.

Yeah, even the Xbox One is cheaper in Brazil. Maybe Microsoft is much more willing to subsidize the cost?
 

Brazil

Living in the shadow of Amaz
Mesmo a R$ 3.999, Sony diz que perderá dinheiro com PS4 no Brasil

http://jogos.uol.com.br/ultimas-not...inheiro-com-ps4-no-brasil-leia-entrevista.htm

Mark Stanley detailed the reasoning behind the Brazilian price, and told us Sony "doesn't want to sell a single PS4 at this high price", but due to their strategy, they thought it was important to be here in 2013 to show Brazilians that they're "critical and important to PlayStation". They're planning on manufacturing the PS4 here ASAP.
 

Platy

Member
Mesmo a R$ 3.999, Sony diz que perderá dinheiro com PS4 no Brasil

http://jogos.uol.com.br/ultimas-not...inheiro-com-ps4-no-brasil-leia-entrevista.htm

Mark Stanley detailed the reasoning behind the Brazilian price, and told us Sony "doesn't want to sell a single PS4 at this high price", but due to their strategy, they thought it was important to be here in 2013 to show Brazilians that they're "critical and important to PlayStation". They're planning on manufacturing the PS4 here ASAP.

fOCfuqC.jpg


R$825 = Dolar price
+
R$2524 = Huge amount of taxes
+
R$875 = Sale and Distributor (it is written distributor while it should be written Distribuidor) share
=
R$4257
(US$1964.92)
 
We even got a discount! What a deal!

So, is Sony losing money with the PS4 in the US?
Because if the base price of the console is $400 without profit, they are either lying, or losing a LOT of money in the US.
 
I'm sure parents going into stores will find this price breakdown chart very helpful......

Wonder how long until PS Brasil gets the price down to something not insane?

We even got a discount! What a deal!

So, is Sony losing money with the PS4 in the US?
Because if the base price of the console is $400 without storage, transport and profit, they are either lying, or losing a LOT of money in the US.

Supposedly selling the PS4 60 USD under BOM

There was a thread about it
 

Road

Member
As I said, the PS4 has special, magical 300% taxes that don't apply to any other product.

And incredible margins.

jlaw-okayaau89.gif



Let's apply the same calculation to the PS Vita:

US price + Taxes + Retailer margins

R$429 + R$1262 + R$477 = R$2168

MRSP R$ 1399

Thanks, Lord Sony, for subsidising R$769 of the Vita price in Brazil!
 

Tiu Neo

Member
I kinda doubt that's true. If it is, Microsoft - who as far as we know, is importing their consoles too - is losing R$2000 for every Xbox One sold? Makes no sense.

To me, this "taxes" part is still over inflated. Brazilian taxes are a joke, but not THAT bad.

Also, insane profit margins. The same price as the console without taxes, heh.
 

Platy

Member
So, is Sony losing money with the PS4 in the US?
Because if the base price of the console is $400 without profit, they are either lying, or losing a LOT of money in the US.

The last console sold at a profit at launch was the Wii.

And theoricaly the 3ds, but then it lost it after the emergence price drop.
 
"Não queremos vender uma única unidade do PlayStation 4 por esse preço."

"We don't want to sell a single PS4 unit at this price".

Well, Sony might achieve that goal.
 

jcm

Member
fOCfuqC.jpg


R$825 = Dolar price
+
R$2524 = Huge amount of taxes
+
R$875 = Sale and Distributor (it is written distributor while it should be written Distribuidor) share
=
R$4257
(US$1964.92)

Does it say how much tax goes away if they manufacture in Manaus?

I call these maths bullshit.

From the graph the taxes I know for sure...

So PS4 using the official taxes: 858 + 906 + 875 = R$2,639 plus 215 for 25% "ICMS-ST e Impostos de MVA" = R$2,854

The graph is right but the value way way wrong.

It would be funny if the whole thing were due to Sony making an arithmetic error.
 

ethomaz

Banned
I call these maths bullshit.

From the graph the taxes I know for sure...

+ Taxa de importação: 20%
+ ICMS (SP): 25%
+ COFINS: 7.6%
+ PIS: 1.65%
+ IPI: 50%

The new for me is that "ICMS-ST e Impostos de MVA" but seems like 25% too.

Using the base: R$858

+ Taxa de importação: 172 (using BASE)
+ ICMS (SP): 387(using BASE + Taxa de importação + IPI)
+ COFINS: 146 (using BASE + Taxa de importação + IPI + ICMS)
+ PIS: 32 (using BASE + Taxa de importação + IPI + ICMS)
+ IPI: 515 (using BASE + Taxa de importação)

172 + 387 + 146 + 32 + 515 = 1252 + "ICMS-ST e Impostos de MVA"

I can't see how they reach R$2524.

So PS4 using the official taxes: 858 + 1252 + 875 = R$2,985 plus 387 for 25% "ICMS-ST e Impostos de MVA" = R$3,372

The graph is right but the value way way wrong.

Edit - Fixed maths.
 

Metra

Member
I call these maths bullshit.

From the graph the taxes I know for sure...

+ Taxa de importação: 20%
+ ICMS (SP): 25%
+ COFINS: 7.6%
+ PIS: 1.65%
+ IPI: 50%

The new for me is that "ICMS-ST e Impostos de MVA" but seems like 25% too.

Using the base: R$858

+ Taxa de importação: 172
+ ICMS (SP): 215
+ COFINS: 65
+ PIS: 15
+ IPI: 439

172 + 215 + 65 + 15 + 439 = 906 + "ICMS-ST e Impostos de MVA"

I can't see how they reach R$2524.

So PS4 using the official taxes: 858 + 906 + 875 = R$2,639 plus 215 for 25% "ICMS-ST e Impostos de MVA" = R$2,854

The graph is right but the value way way wrong.

I'm no expert, far from it. But I don't think that's how tax calculation works. You're just adding the values individually, in a "simple interest" manner. But, in fact, those taxes applies over previous taxes, in a "compound interest" manner. It's "tax over tax", not "tax plus tax".
 

Zeroth

Member
Out of curiosity, does anyone know the history behind video game taxes (especially consoles) in Brazil? I remember reading that it was related to protecting the national industry (read: TecToy), but I'm wondering if there is something else.
 

tgoalves

Neo Member
New information from Sony coming in about an hour. (Unrelated to the stuff I've been teasing.)

Just read the interview. Brazil, I know you said its not related to your tease, but I couldn't see any way we could have a PS4 with a better price in the near future. I'm wondering what good news could we get from Sony Brazil right now...
 
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