| justinian said: With all due respect I find the argument that claims Xbox360 is profitable baseless. How you can figure that out when others can't is remarkable. If you happen to have had a good look at MS's ledger and was able to break down the money generated on each product in their entertainment division then I humbly apologize. Else it's just speculation. I read a recent report from the WS journal that was the exact opposite to these claims but as I can't be bothered to look for a link to this story so I'll just leave it at that. Everyone that purchases an xbox doesn't sign up to live or buy accessories. The xbox360 is a superior console to the wii. If Nintendo can sell a souped up 10 yr old gamecube for more money than a hardware superior (and obviously more expensive to produce) x360 and MS still make a profit..wow. Nintendo must be raking it in. Well, they are. No matter how many billions you have in the bank operating on a loss is frown upon. I cannot speak for MS as I don't work there neither am I friends with anyone on their board. I trust they will do what is right, afterall they pay people a lot of money to make these decisons who are far more qualified than I am, but maybe not as qualified as some here. But that's why we are here, to speculate about such things. Just don't turn speculation into facts. |
Actually I did look at the Xbox 360 results.
Cost of revenue = 4.3B (Incl Xbox 360 + peripherals + Zune + live payments to content owners + keyboard/mice)
Revenue = 5.6B
Now R+D is 1.8B and that includes Xbox 360 game development and overall console development. But for comparison EA had 1.3B R+D expenses for the year and they have a much larger game development effort. So most of that is related to Windows mobile etc.
Oh yeah Live membership scaled up almost exactly 1:1 with console shipments.
Oh yeah they also said they broke even on the Arcade with accessories last year.
Tease.
