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All the money they lost with the original XBox will be brought back by XBox Live, Kinect and the current profit off the slim 360's and other over priced accessories.

Come next gen I'm sure MS will also charge more upfront to break even on the 720 launch. I would not be surprised to see a $500 bundle with the "new" kinect and a standard controller next gen.

MS has more profit coming their way.

Congrats to MS, I look foward to the next XBox.



It's just that simple.