kowenicki said:
pokoko said:
thranx said:
pokoko said:
I have a question. Beyond that initial $1.2B write off for the RRoD, extending the warranty must have cost Microsoft hundreds of millions of dollars in the following years. It was still a subject that we were trained on when I worked with Microsoft last year, so it's still a cost factor internally. My question is, where does that extended cost show up? Are customer service and warranty losses debited against the gaming division? |
they put the 1 billion aside for the future cost of the failed devices, not for ones that had already failed, but also for the ones that were going to fail. So its already accounted for.
|
Even if that's true, I doubt it accounts for everything. To Microsoft's credit, the upgrades they made to the 360 warranty service were major and dramatic, which means they were very expensive. Adding repair staff, paying for shipping, fixing production problems, retraining customer service, even extending the warranty on repaired consoles. As I said, it still accounts for costs, even today. Also, I'm pretty sure that $1.2B write-off was retroactive, as I remember that people who paid for repairs were reimbursed. This was a hugely expensive undertaking and there is no way they could have foreseen the total cost or pulled all the costs under one umbrella. The truth is, we'll probably never know the final price tag. All we can really know is that it was massive and likely impacted many departments.
|
yeah... thats why profits have increased almost relentlessly year on year for MS as a whole..
"Massive impact... many deparrtments"? I doubt that. But if you maintain that, what about the PS3? Same situation? No?
I like that we are now moving into the realms of company profits.... I welcome that dicsussion.
|
I said nothing about the PS3 so I have no idea what you're talking about. I also said nothing about Microsoft not making a profit, so again, I have no idea what you're talking about. Looks like you're trying to drag this off-topic as best you can. Why not just make your own thread for that? It would make you look a good deal less petty than to keep repeating "I welcome that dicsussion" in threads about other subjects.
