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S.T.A.G.E. on 13 December 2014
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MoHasanie said:
Goatseye said:

You really don't get it. How do you think these companies make money?

Software, peripherials and subscriptions right? Guess which one of the console makers usually have the highest attach ratio on their hardware?

To make any assumption on how much MS is losing, you have to know the manufacturing cost of those hardwares.

I get all that and I've never disagreed with it. We all know software, controllers, live etc. make a lot of money. But I specifically said "loss on X1 hardware" not the whole of Xbox. All I'm saying is that each X1 is losing much more than the $51 the article claims it does. 

MS can afford it so its not really  that big of a deal right now.  This is all being done for show. If they were to keep it up it would become a problem. They'll go back to $400 in overall price and if Sony continues to wreck them they'll drop the price again between June-september. Its obvious that this isnt about profit because the Xbox One had been selling very well. Its just that when Sony sells well its on another level. MS had to devalue their console in the first year just to catch up to what Sony naturally sells at $400.