The big if in these projection is basically the number of consoles that will sell.
From 8.7 to 12 million is quite a jump, though again, it's a 38% increase compared to 32% from last year.
If MSFT foresees this type of increases, then, maybe the 360 will be fairly successful and profitable.
FY Jun 06 - 5.0 million
FY Jun 07 - 6.6 million
FY Jun 08 - 8.7 million
Total - 20.3 million
FY Jun 09 - 12 million ??? (with price cut)
FY Jun 10 - 12 million???
FY Jun 11 - 12 million???
If XBox 360 lasts for another 3 fiscal years, with a constant (non-declining sales), then it would sell approx. 56 to 60 million consoles.
Not too bad at all I think - since they should be profitable for all those 3 years - probably $600 to $1 billion per year in profits
IF those assumptions hold up.
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