shikamaru317 said:
Where are you getting that notion from? I remember IHS did a hardware cost analysis of Xbox One when it released, they determined that it cost about $471 to build, including Kinect, and the Kinect itself cost $75 to build so when Kinect got dropped 8 months after launch and the console price was dropped to $400, it would have still been selling at cost with the $400 price tag. A year later, the price was dropped to $350, which again should have been selling at cost, due to the fact that hardware production costs drop over time. A year later the new Xbox One S released at $300, IHS did estimate that the standard 1TB S model was selling for a loss of $24, but offset by the 2TB S model selling for a profit of $70. Probably safe to say that the later Xbox One S price drops would have been selling at cost or only a small loss due to decreasing manufacturing costs over time. I don't think I ever saw a cost breakdown on Xbox One X, so maybe it sold for a loss, but it also likely accounted for less than 10m of XB1's 50m+ sales. |
Well you pretty much answered your question.
And regarding the One X, we have this article: https://www.gamesindustry.biz/articles/2017-06-15-xbox-one-x-selling-at-a-loss#:~:text=Microsoft%20will%20see%20a%20loss,sales%20of%20its%20upcoming%20console.&text=The%20money%2Dmaking%20part%20is%20in%20selling%20games.%22
Which also states that the Wii U was sold at a loss, so I am wrong on this one
