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Come on!!!!!! Get serious.

Microsoft hasn’t lost that much, and has a few quarters in the black.

They wrote of 1 Billion last financial year due to RROD.

Their losses include money which went to
  -owning Game IPs
  -developing technology which has high value if resold/spun off

 - Increased brand awareness
 - Developing sales channels
 - Taught them alot of engineering issues
 - Building LIVE
 - Increasing market share
 - Moving developers from solely sony to a sony/MS
- Force sony to release their next console around the same time as MS next console as not to concede too much market share, while MS will benifit by having a longer time in the market before the next gen is released. ( My prediction is that sony will have 1 less year to recoup their development dollars on the PS3, as they won’t want to put a console on the market 1 year later than MS)

This spent money takes years to show itself their books as returned revenue.



Predictions JAN 08

2008 PS3-19.5M(actual 19.5) XBOX360-23M(actual 27.5) Wii - 37M(actual 45.8M)

End of 2009 PS3-27 25M XBOX360-30 35M Wii - 48 63M (revised DEC 08)

Price Point
Mid 2008 Wii $250 Xbox360$249 Xbox360(HDD)$299 PS3 $399

Mid 2009 Wii $189 Xbox360$199 Xbox360(HDD)$249 PS3 $339

Mid 2010 Wii $ 149 Xbox360$159 Xbox360(HDD)$199 PS3 $289