How bold will Microsoft be during 2008?

[Avinash_Tyagi]

krik said:

Avinash_Tyagi said:
Nintendo probably won't drop the Wii's price until middle of 2009 at the earliest.

MS on the other hand will likely drop as much as a hundred in the next year off the 360 to try and force Sony into dangerous territory, play a price war with the 360 and lose any hope of profit this gen, or fall further behind in WW sales, because MS can absorb those losses far better than Sony can

 MS can surely absorb those losses better than Sony but unlike Sony, MS never made a profit on their console business. They're down 7B since they launched Xbox1.

 Sony is down 3B with PS3 but they made WAY more than 3B with PS1, PS2 and PSP. Sony investors already saw the money so they understand the losses on he first few years but MS investors didn't. MS needs to prove they can run a console business or their investors will push them out of it.

 Also, MS will be on their 3rd year with the 360, they really need to show profits this year.

 So?

 

Remember, MS started Xbox as a defensive move against Sony, they really don't care about the money lost if it keeps Sony from taking control of the living room, because it protects their OS market