First off, Kinect sold pretty damn well. I think Kinect Adventures is under tracked here when you consider how many people have most likely bought more expensive 360 bundles that come with the Kinect. Same with Carnival games.
The big downside with the sales is MS spent over 500 million on Kinect advertising. So even if it sold insanely well the advertising alone most likely took a bite out of the profit. How much has MS made off each Kinect (stand alone) since launch? That would probably help answer my own question.
Sadly, the Kinect has no real good Kinect only games with the exception of the Dance Central series and maybe Gunstringer http://en.wikipedia.org/wiki/List_of_Kinect_games . This is the big selling point for me. I refuse to buy a Kinect for more then $50 until it has some really solid titles and it looks like right now we won't be seeing any anytime soon.
It's just that simple.
