How long before Xbox Division is no longer integral to MS long term vision?

[DirtyP2002]

nitekrawler1285 said:

DirtyP2002 said:

nitekrawler1285 said:

DirtyP2002 said:

you did not get the article you are quoting.

  implying the company could likely see costs exceed revenue in the near term. 

How do you interpret this?    

I had to explain this before.

http://gamrconnect.vgchartz.com/post.php?id=6002645

 

This is in German and I am too lazy to translate it again. I posted a much shorter version in english somewhere in this thread. try and find it.

So even the increase in cost of goods rises above the increased revenue  they are making money?  That doesn't sound right.  I thought they meant launch  mode as in spending heavily to get marketshare.  

Edit: After running that post through google translate I get it. Shrunk profits would lead me to believe even at the 500 mark they are selling the console at a low margin though sales of the other products namely the 360 helped.  I will ammend my Post. 

yeah, something like that.

In a word:

Xbox 360 highly profitable, Xbox One makes a small profit.
Due to the shift from 360 towards Xbox One, the cost of goods increases.

With the "launch activities" (getting SDKs out there, signing contracts with publishers / developers, increased marketing, getting distributors involved, etc.) it might happen that the results will be affected negatively over the next quarters. This is an investment for the whole generation though.

As we have seen this Q, the consumer devices division or whatever it is called still posted a profit.

The Xbox One is still profitable though. well at least it used to be at $499. It is probably breaking even right now or it will be sold with a tiny loss - just like the PS4.

 

The Xbox One is still sold at a profit though.