reverie on 20 April 2007
| Shane said: Xbox is an anomally. They dropped $2 billion on Live, $400 million on Rare, and slashed the price by $100 6 months after launch. This wasn't a strategy about making their system profitable over the long term. This was about building a brand to last generations. Microsoft's better off focusing on Europe than Japan, though to do PS1/PS2 numbers would require everything in spades. |
The Xbox brand is worth zero without Microsoft. This is a brand that hasn't made a dime in 5.5 years. Losses are steady at $1 billion per year. Who would value that kind of brand? Running the XBox is like running the U.S. Agricultural Department.
Hardcore gaming is a bubble economy blown up by Microsoft's $7 $6 billion losses.
