http://www.reghardware.co.uk/2006/06/23 ... r_subsidy/
Toshiba is subsidising its HD-A1 HD DVD player by at least $175 in a bid to buy the next-generation optical disc format success. So claims market watcher iSuppli, which took the machine to bits and totted up the cost of all the parts.
Available in the US, the HD-A1 is priced at $499. iSuppli's assessment of the cost of the players' components puts the product's bill of materials at $674 - and that's before the cost of assembly, packaging, peripherals, distribution, advertising, software development and so on. Oh, and that $499 is the retail price - Toshiba will be charging resellers even less for the player.
It makes you wonder how much money Sony is losing with the PS3.