said by GCJ :That's the way it works with the cellphones They sell it cheap expecting you'll stay with them for a little while.
Videotron actually doesn't make money on the PVR they sell. Their cost is very high for those machine and the only reason they actually charge less than what they pay for because it is an investment for them as customer buying a PVR will likely stay with them for a while.
Although I'm pretty sure that at $600, they do make profit. And I wouldn't be surprised if it still wouldn't be below their cost, even at $400.