Because Sony manufactured custom components for PlayStation 2, initial manufacturing costs were high and Sony lost an estimated $50 on every console sold. Now, however, Sony has shipped 30 million PlayStation 2s and the economies of scale have cut the cost of manufacturing the console. In the same interview, House said Sony was making a profit on its hardware sales.

Microsoft, on the other hand, has sold less than 2 million Xboxes in the United States, and has faced significant problems internationally. Though Microsoft virtually sold out of hardware immediately after its November launch in the United States, Xbox sales slowed down in the beginning of 2002. The U.S. market seemed to be settling with Sony commanding approximately 56 percent of sales while Microsoft held a 24 percent share and Nintendo held on to approximately 20 percent.