Yeah MS doesn't make money on the 360? Give me a break. The system hasn't had It's price cut for years and components are obviously cheaper. Anyone who says they don't make money on the system is borderline trolling.
Now the division on the other hand? Yeah. Because it involves other components, not just the 360. MS also dumped in a lot of money into Kinect advertisement. Lets also not forget 720 R&D which is pretty apparent that their new system is out next year.
It's just that simple.







