Xbox |OT|

[Machiavellian]

chakkra said:

Machiavellian said:

Lol, do you really believe Xbox is hardware is driving MS stock price, I highly doubt it.  If MS came out today and said we will not do next gen hardware there would not be a blip in their stock price.  Hell, if anything it might go up because a lot of investors probably believe they should concentrate more on AI, software and Azure.

No, MS stated their agreement with AMD because they wanted to let people know they are still doing something but it will not be a traditional console because right now they are getting owned by Nintendo and Sony and that probably not going to change anytime soon.  

Hey, you might be right. There might be no impact at all, heck, it might even go up, as you said, but if there is one thing certain abougt the stock market, is that nobody really knows exactly how is going to react in the end, so no, I don't think they would risk to announce it just like that.

And you might be right, maybe they are still planning to release another console as a niche product (with no intention to sell more than a couple of millions) but I think it would still be part of the phasing out process that they have already started.

True we cannot always predict the stock market but we can get insight into what investors care about.  The latest situations from MS is a huge tell what investors care about.  First we have MS pricing their hardware where its more expensive than their competitor who already have a huge market lead on them.  Next we have retailers removing MS hardware from store shelves and last we have a huge increase in GPU price.  From all of those situations happening, the stock price has not gone down, if anything its gone up.  I looked at a few investor ratings and forecast and none of them even mention Xbox division as the levers for investing in MS.

I do agree that MS is phasing out the traditional Xbox console but not out of hardware itself.  If anything look towards the surface line to see where MS is probably looking to go.  MS is going back to PC but they are not looking to subsidize a console environment anymore.  While MS will miss that 30% for whatever they get for games selling on their platform, I am guessing they believe they can make it up by selling their games on everything that can play games.  The PC market is very healthy and when you really think about it, all of their focus should be concentrated on making that market much stronger because its their primary market for the software anyway.  The Xbox interface for the ROG Ally is the first step but MS needs to be able to couple and decouple full windows to really make that into the next gaming platform.  We will see how much effort they really put towards that goal but hardware wise, the traditional console is dead at MS.