Breaking: Xbox 360 Price Cut incoming

[Lingyis]

ckmlb said:

Lingyis said:

ckmlb said:
People were talking about the billion dollars in repair costs being insignificant to MS, but really it's like 1/5 of MS' total yearly net income or 1/12 of their revenue down the drain. I mean they can take it but it's definitely not insignificant.

ahem, 1 billion is 1/5 of MS income last QUARTER. they make about $14 billion a year. probably $17-$18 billion this fiscal year with vista.

EDIT: 1 billion is significant no matter how you look at it. even if a company makes $100 bln profit 1 bln is still 1 bln. in 2007 anyway.

That 14 billion is not net income that is revenue. So 1 billion dollars is 1/5 of their net income of in a year and 1/14 of their total revenue. In either case this is a big hit.

 sheesh, do your research and come back.  i can't believe you would respond without even looking things up.  even common sense would tell you they make more than 5 bln a year.

 MSFT's numbers:

Income Statement	Quarterly (Mar '07)	Annual (2006)	Annual (2005)
Total Revenue	14,398.00	44,282.00	39,788.00
Gross Profit	12,258.00	36,632.00	33,757.00
Operating Income	6,589.00	16,472.00	14,561.00
Net Income	4,926.00	12,599.00	12,254.00

 fiscal  2006: 12.6 bln net.

with vista this fiscal year numbers would be higher.