Quote:
Originally posted by Iggy The Dog:
JDB:

I hate to tell you this, but you are dramatically underestimating the cost these projectors. Consider the following:

* Cost of HD-2 plus the associated ASICs needed to drive it is more than you estimate.
* Cost of the lamp/ballast, assembly, etc.
* Cost of the scalar electronics. If you do it right, it isn't cheap.
* Cost of the optics: Lens/color wheel/associated light pipe components, etc.
* Cost of the power supply, fan, misc. electronics.

Oh, and do you think it costs anything to assemble and test. How about ammortoization of the cost of software development and integration of hardware components. How about tooling ammoritzation?

Opps, I forgot that there is marketing to consider, and THEN you get to the profit.

I doubt that there is any collusion. Me thinks that TI would LOVE to drive the cost down if they could. But, right now, it looks as though about $9-12K is the right ballpark for an HD-2 based front projector.

But what do I know, I'm only a dog!

ARF ARF, says Iggy.


"The Dog"
You are not paying attention. That's where the extra money goes - adver., promos, overhead, burden (building - marketing, etc). I don't want to pay that in my biz, which is what I thought was the Outlaw's biz model. BTW - material cost for every thing you buy is about 10% of retail - or less. This applies to your car, radio, TV, BFast cereal, etc. The web biz model is suppose to get rid of at least 50% of the bloat. The Outlaw's biz model doen't work if they can't get the material built without all the bloat added on (as if they were not on the web biz model). Apparently they must buy from the assembly guy (manuf. is costly), who buys from TI, and the assembly guy is not going to let them undercut him if he is also in the retail biz. That's apparently the problem.

[This message has been edited by JDB001 (edited October 24, 2002).]

[This message has been edited by JDB001 (edited October 24, 2002).]