Forums - Microsoft Discussion - Xbox One missteps may end up costing Microsoft $1 billion

Xbox One missteps may end up costing Microsoft $1 billion   Published 3:55 pm, Saturday, June 7, 2014

Microsoft admits it has made mistakes with the Xbox One. Photo: Nam Y. Huh, Associated Press

Number of the day

$1 billion

That's how much Microsoft may lose in future sales of its Xbox One console thanks to missteps over pricing of the machine and curbs it tried to place on trading video games, according to Michael Pachter, an analyst at Wedbush Securities. The software giant will introduce a cheaper version of the machine Monday to match the $399 price of rival Sony's PlayStation 4, which has outsold it by at least 2 million units.

 

 

Source: http://www.sfgate.com/business/article/Xbox-One-missteps-may-end-up-costing-Microsoft-1-5536520.php

 



Bet with MohammadBadir & ohmylanta1003: Wii U lifetime wont be 18 million+. Winner gets two months of sig and avatar control.

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Since it's Pachter does that mean it will gain 1 billion profit instead?

But seriously, this is expected and MS has the money.



Xbox One Gamerscore League Centurion.

http://gamrconnect.vgchartz.com/thread.php?id=185805&page=1

"There is absolutely no connection between shipments and sales." black8jac

http://gamrconnect.vgchartz.com/post.php?id=6670553

I don't understand the article wording:

Will MS loose 1b by cuting Kinect or that is this the revenue they lost ( 2mi consoles x $500 ) advantage Sony gain early on.

jlmurph2 said:

Since it's Pachter does that mean it will gain 1 billion profit instead?

But seriously, this is expected and MS has the money.

While I agree with two things youve said. One is factual, MSFT "has" the money (whether they or shareholders agree this makes it okay is a different discussion) and the second being that Pac Man is a moron.

The idea that a company launches a successor to a profitable product (the 360) "expecting" to lose 1 billion dollars is rather silly.

The fact of the matter is its a blurb using Pac as its sole source and info thus its a moot point and topic because the info has such a small chance at even being correct, haha.



They may not lose that much. Key word is MAY in the article

 

 

 

 

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Ouch. But Pach is just guessing.

Had a bet with eFKac on whether or not Valve will be at Sony's E3: I lost.

As ms fans would say, a bill is nothing for Micro$$$soft. Likely they will lose a lot, I'm sure their costs estimates and overall figures for this gen were based on far higher X1 sales they they are having and likely will have. All will factor in to some serious financial negatives, luckily ms can easily eat em with out even a hiccup.

jlmurph2 said:

Since it's Pachter does that mean it will gain 1 billion profit instead?

But seriously, this is expected and MS has the money.

They definitely have the money. Still, it's not good at all to lose money with the console not doing good right now.



Well, M$ doesn't have to sell buildings to cover losses or have C-suite executives take paycuts.

       

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Dark_Feanor said:
I don't understand the article wording:

Will MS loose 1b by cuting Kinect or that is this the revenue they lost ( 2mi consoles x $500 ) advantage Sony gain early on.


I agree, from teh way I read it Pac is saying over the life of the console its costing MSFT 1 billion. Which he could not know....no one could.

It most certainly has NOT cost MSFT 1 billion dollars LTD so it cannot be up to now that hes referring to.

Moral of story, Pachter.