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Dr.Henry_Killinger said:

Microsoft makes a small fraction of money from Xbox, which is more of a long term investment for them. They profit mostly on industrial contracts and Windows.


I'm pretty certain the only reason MS even bothered entering the console market, was too mitigate potential damage to their main revenue sources should Sony have come good on their claims that the PS2 was a super computer capable of launching nuclear missiles and proving "Toy Story quality" in game graphics.

Had such a device have hit the market in 2000, it would have seriously compromised Window's position as an OS and then all the MS applications that go with it, Office etc. I'm sure some early Sony PR stuff for PS2 showed spreadsheets/pie charts etc on a TV screen.

Otherwise I think they'd have just been happy continuing to produce/publish content for Windows as a gaming platform.



RIP Dad 25/11/51 - 13/12/13. You will be missed but never forgotten.