The BOM excuse from Stern comes across as BS. Stern investors likely have a figure in mind of X amount of dollars they want to make per game. If JJP is making games with more in them, and overall using higher quality parts for the same price (premiums and LE's) that tells you they make less per game then Stern.
Let's say JJP makes $3k per LE and they happy with that. Well Stern may not be happy with $3k per LE and instead demand $4k - $5k profit per LE. That sounds like greed versus just being happy with making a decent profit while putting out a quality product. Its possible Stern could make JJP loaded titles and generate a profit of $60 million a year versus $70 million (just an example) using today's build methods. What is so wrong about that?
Games like LOTR were loaded and sold for $3500 about 15 - 17 years ago. Inflation takes that $3500 to about $5k in 2020 dollars. Do premiums today cost $5k? No. They now cost around $7500, they have decals vs direct printed cabinets, cheaper quality parts, heads made with 2 pieces of wood and metal, no proper lockdown bar, cheaper quality playfields, etc.
So yes the BOM excuse at the prices Stern is charging today doesn't fly. Consumers can buy similar priced games from JJP with higher quality parts, more features, more code work, etc...something doesn't add up. Theres no reason customers should have to pay $15k for a Stern LE that is comparable to a JJP LE that cost $9.5k. What so Stern can make a $5k profit versus $3k? Forget that.
Hallelujah! Holy sh*t! Where’s the Tylenol?