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Teeqoz said:


It would matter if they sold fewer X1s because that would give them less XBL subs, less royalties from 3rd party software and smaller installbase versus the PS4 when negotiating other deals like timed exclusives and marketing deals. This would turn MS into a publisher instead of a 1st party (console manufacturer). If they're going to release every game they have on PC with the argument that "we reach a larger audience", then they might as well just go third party, but just keep their console business at the same time. I'm sure it could be possible for them to keep the xbox console brand while at the same time being a third party publisher though. But hey, I hope they do this, then I can play Halo and Gears and such on my Playstation!

At the same token they would make a lot more per unit on PC sales. PC is dominated by digital sales. So they would make a lot more profit on the average PC title sold as a result. If they sell 2 titles digitally a year that should more than make up for the yearly sub cost. As far as peripherals are concerned, if they sell the same amount of peripherals total (including Xbox Controllers for the PC as an example) than peripheral profits will be a wash.

While it's bad for Xbox One, it might actually benefit the company overall, and could be more profitable long-term. 

 

Things are completely different when you bring up supporting Nintendo/Sony consoles where they would lose profits by paying royalties to their competitors. Microsoft support for their own products (in this case Window) should be a given.