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Why hasn't MS cut Xbox One price in EU?

Forums - Microsoft Discussion - Why hasn't MS cut Xbox One price in EU?

Athaba said:

There is no official price drop, but you can buy a X1 for about 330€ (Fifa 15 inclusive) at several retailers in Germany. So an official pricecut to 350€ doens't make much sense, because nearly nobody here buys it for 400€. The X1 is on the edge to death in Europe (not UK), so I don't think they will push more money into it. Just selling them without further effort may be their strategie.

To the comment with the weak €: The € is still stronger than the $, so with 350€ versus 350$ they still would make some extra profit, right? (Shipping costs can't be that high per console)


VAT is included in Europe, Sales tax not in USA. With the Euro - Dollar exchange rate at 1.15, 350€ (minus VAT) is less money than 350$



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kowenicki said:
Kynes said:
...

That's what they said on a financtial report, lower than expected profits for PS4 even with a much weaker JPY due to exchange rates.

I've spoken about this before, it is because they negotiated a lot of the contracts for the PS4 in dollars (doh!). 

But this only affects the PS4, all other Sony revenue streams will be benefitting from the extremely weak yen.

I should have said it's bad news for the PS4 profit margins, yup.



Kynes said:
kowenicki said:
Kynes said:
...

That's what they said on a financtial report, lower than expected profits for PS4 even with a much weaker JPY due to exchange rates.

I've spoken about this before, it is because they negotiated a lot of the contracts for the PS4 in dollars (doh!). 

But this only affects the PS4, all other Sony revenue streams will be benefitting from the extremely weak yen.

I should have said it's bad news for the PS4 profit margins, yup.

what is?



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Kynes said:
Athaba said:

There is no official price drop, but you can buy a X1 for about 330€ (Fifa 15 inclusive) at several retailers in Germany. So an official pricecut to 350€ doens't make much sense, because nearly nobody here buys it for 400€. The X1 is on the edge to death in Europe (not UK), so I don't think they will push more money into it. Just selling them without further effort may be their strategie.

To the comment with the weak €: The € is still stronger than the $, so with 350€ versus 350$ they still would make some extra profit, right? (Shipping costs can't be that high per console)


VAT is included in Europe, Sales tax not in USA. With the Euro - Dollar exchange rate at 1.15, 350€ (minus VAT) is less money than 350$


Ah okay, I didn't know this :)



Then they lose even more money.



 

The PS5 Exists. 


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this is probbaly the real reason...

The Euro is a very very weak currency, it is on its arse at the moment.  The Euro has dropped about 20% against the dollar from the 52 week peak. 



I'm not really here!

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Dr.Vita said:
They know they can't win.


*insert balboa quote here*

It aint bout how hard you hit, it bout how hard you can get hit and keep moving forward, dats how winnin is done



While Sony fights valiantly hard to retake the NA market, Microsoft is indifferent to trying to get the EU crown



Aeolus451 said:

Well, you got me pretty good with that. haha. 

At least now you know an original VGChartz meme xD

It ain't mine but bless the soul who made it. lol!



They are being dumb by only focusing on USA and the UK.



    

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