NJ5 on 24 January 2009
EDD operating income decreased primarily due to increased research and development expenses, partially offset by decreased cost of revenue. Research and development expenses increased $251 million or 37%, primarily reflecting increased headcount-related expenses associated with the Windows Mobile device platform, driven by recent acquisitions. Cost of revenue decreased $112 million or 4%, primarily driven by decreased Xbox 360 manufacturing and warranty costs.
In other words, the main reason why profit was lower than last year was due to Windows Mobile, not 360. Reduced 360 manufacturing costs helped mitigate this.
My Mario Kart Wii friend code: 2707-1866-0957
