Yahoo: "Microsoft can no longer afford to keep investing in the Xbox"

[DirtyP2002]

@nightsurge and Bond,

I can't quote at work (VGC is a coding mess)

So losses 3.5 billion, profits 2.6 billion.
So the EDD was not profitable for the lifespan of the 360, but the 360 itself was.

--> 900 million USD difference.

3.5 billion losses include the last stages of the original Xbox, Zune, Windows Phone, Nokia payments, Kin and PC equipement as well.

We know that Kin alone (a small product a lot of you guys probably haven't even heard of) cost close to 300 million USD. About 200 million was just for the discontinue of the product.

http://www.microsoft.com/investor/reports/ar11/financial_review/discussion_analysis.html

Now imagine what the same scenario of Zune and Zune HD must have cost.

Microsoft payed Nokia 250 million every 3 months. resulting in more than 1 billion USD.
http://www.engadget.com/2012/01/26/microsoft-paid-nokia-250-million-to-adopt-windows-phone-q4-ear/

Add Windows phone (especially before WP7) and you get the idea.

So yeah, the 360 and XBL is a highly profitable product by now. The original Xbox is a way to go though.