lmaobox said:
The division containing the Xbox division reported a profit. Xbox division alone wasn't reported in MS's financial statement and the losses are probably covered up through Android licensing fees. Also, units sold may not equal profit, but that figure will determine net profit. Units sold will determine 3rd party support, net profit made through software royalty fees, online subscription fees. |
So you are guessing that the xbox division is losing money then?
Units sold does not determine net profit at all (same thing as saying it doesnt equal profit by the way). It may be a factor in determining third party support, but more important factor is ease of porting games from the leading console (in this case very easy, the x1 wont ever lose third party support, ps4 might get some third party exclusives though).
it does affect the gross income of the division and total license fees and subscriptions. Thats true. Still, you dont need to sell tons of hardware to make a profit. The gamecube was profitable from day 1 and was profitable for nintendo. It only sold 20 million units.
You are saying profit, but you are refering to revenue. All that matters in the end is the bottom line, did they make more money then they spent. Microsoft can easily make more money than they spent even if they only sell 40 million units. Thats all I am saying
