Pachter: Microsoft could reduce Xbox One price "faster than forecasted"

[kirby007]

fleischr said:

kirby007 said:

fleischr said:

DerNebel said:

DirtyP2002 said:

DerNebel said:

kirby007 said:
they make money on each console.. they could have dropped the price at launch, so how is this faster then forcasted

http://www.theregister.co.uk/2013/11/27/xbox_one_price_brings_loss_to_microsoft/

LoL, what a shitty article

 

No, the Xbox One hardware is profitable at launch, the profit is a small one though.

http://news.cnet.com/8301-10805_3-57613758-75/microsoft-squeezes-little-profit-out-of-each-xbox-one/
http://www.gamesindustry.biz/articles/2013-09-05-xbox-one-will-be-break-even-or-profit-making-from-launch
http://www.slightlyqualified.com/microsoft-claims-xbox-one-will-be-break-even-or-profitable-on-launch

Ah, whatever :D

I was wrong. Didn't read the article right, they make a couple dollars on each console.

That doesn't factor in marketing, distribution and warehousing costs. As well as the R&D costs. As always, the Xbox loses MS money and no one seems to notice.

I only agree on distribution costs, rest doesn't make a single xbox more expensive

You're cute -- didn't developing the controller cost MS at least 100 million?

You're incredibly naive to think that the costs in developing the console would be ignored relative to how well it performs in the marketplace. As for marketing costs, those can always be optimized. Personally, I think MS is over-marketing the Xbox to the gamer and under-marketing it to the consumer for it to be on track to be success in the long run. But that can (and likely will) change.

i think you miss the point, how do those development costs make a newly produced xbox one more expensive? exactly they don't

instead of calling me cute try reading up on sunk costs, r&d and general accounting priciples