Google throws their hat in the console ring

[bonzobanana]

DonFerrari said:

bonzobanana said:

I've not read here anyone that has suggested almost free, I certainly didn't I wrote subsidized but yes many companies will play the long game running at a small profit or loss in order to ensure they are the major player in the future where very large profits will be available. Companies like Tesla are in no way profitable today but as it establishes market share in the long term it will become profitable which investors and creditors have accepted.

Bonzo, not all companies operates on the profit philosophy... like Amazon. All that is generated is reinvested on the company (that is if they are even operating at any profit margin on the products)... they work on growing the company value and investors making their money this way.

We aren't talking about that here though we are talking about making a loss even a small one to establish your product/service in the market place and ideally  end up in the no.1 position. Amazon certainly have a history of loss making to establish themselves. They haven't had profits to plough back into the business most of the time they have been servicing debt and investors playing the long game. As they have become larger and removed much competition they have moved towards profitability. Surely that is how they have kept investors on board.