Here's a guideline for MS profits:
(1) If it's Windows or Office, MS makes a lot of money on it
(2) Otherwise, MS loses money on it.
MS is not good at competing for business. They're a huge, slow, inagil company that rarely (if ever) innovates. They make money in the areas where they have monopolies.
Look at MS' best efforts in the console market: they're about $7 billion in the red. Look at their best efforts in the online search market: they've given up and now want to buy their way in to the tune of $40 billion. They simply cannot compete with innovation. They need a monopoly.
The 360 does have a lot of great games, not due to Microsoft but due to third parties, but I think the "majority" of people seem to be buying a Wii which is approximately the same price as the 360 ($250 vs $280) even though the Wii is really hard to find. It's strange that these people think the 360 has the best games, and yet they buy the Wii at just about the same price point and with a lot of difficulty.
