Kinect cost $56 to make - Report

UBM Tech Insights opens up Microsoft's new motion-control technology and prices out each of the components within.


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Microsoft's full-body motion-control tech, the Kinect, was released at the beginning of the month at the $150 price point. The company had previously said that it would sell every Kinect unit at a profit, and now, it appears that margin is in fact quite large.

The Kinect's not so expensive after all, says the report.
The Kinect's not so expensive after all, says the report.

According to UBM Tech Insights (via EETimes), who tore apart a Kinect unit and priced each of its components, the per-unit cost of a Kinect is roughly $56.

Of that figure, $17 is attributed to Israeli semiconductor company PrimeSense's "reference system," which includes microphones, processors, and cameras.

Previously, the New York Times reported that the first Kinect prototype cost Microsoft a whopping $30,000, some 200 times the price the company is selling the unit for. In that same report, Microsoft expressed its plan to sell each Kinect unit at a profit.

For a view of the Kinect's full component breakdown, check out the EETimes report.

The Kinect is Microsoft's first dive into the motion-control gaming era popularized by the Nintendo Wii. Microsoft believes it will sell 5 million Kinect units this holiday. Kinect is currently available as a stand-alone product for $150 and in Xbox 360 bundles beginning at $299.

Check out GameSpot's in-depth look at the Kinect for more on the Xbox 360 add-on.

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