kowenicki said: Nonsense list. |
Hey kowenicki, haven't seen you around in a while.
Yeah, image has no source so good for little more than a bit of amusement.
kowenicki said: Nonsense list. |
Hey kowenicki, haven't seen you around in a while.
Yeah, image has no source so good for little more than a bit of amusement.
I don't see how Xbox can be more profitable than PS for FY 2014 or 2015. Average sale price for Xb one is lower than PS4 and cost of manufacture is roughly similar. Therefore console sales profits should advantage PS4. Game sales are considerably higher for PS, therefore platform royalties will be higher. PSN+ has a pretty decent market penetration so the difference vs XBLG should not be much.
Is Vita dragging PS down?
I'm guessing those numbers aren;t separating out other non-console revenue sources, so it's not an accurate picture of console profitability.
“The fundamental cause of the trouble is that in the modern world the stupid are cocksure while the intelligent are full of doubt.” - Bertrand Russell
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lightofhonor said: Updated!
Some Thoughts: In the past decade, 06-15, Sony lost$3.3B, Nintendo made $15.5B, and MSFT made $3.1B The PS3 years (06-13) lost $3.6B, 360 years (05-13) made $1M, and Wii years made $15.5B |
Surely 360 made more than 1 million dollars, goodness!
CaptainExplosion said:
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shocking news, huh ;)
Sony definitely lost a lot of money with the PS3 though you have to remember that they made money because of it in other segments e.g. by winning the format war against HD DVD. Also you could argue that lessons learned secured a huge success with the PS4. No doubt that PS3 was unprofitable all things considered.
Nintendo just keeps being unrivaled when it comes to making profits on lower selling hardware. Though you could argue that the profit seeking strategy (e.g. only a very few price cuts) prevents long time growth (e.g. growth in user base). If 3rd parties are to return there has to be a healthy sized user base including other groups than the one primarily buying Nintendo games only.
Microsoft's Xbox numbers are impossible to analyse due to Android royalties being lumped together with "Entertainment and Devices". It is estimated that Xbox made (still makes?) $2 billion in yearly losses. Microsoft has yet to debunk that estimate. I wonder why.
For the past few years, Microsoft reported the revenue and operating losses of Entertainment and Devices, which was the group that housed Xbox, Windows Phone, and Android royalty payments.
That group always seemed to be profitable, but Sherlund says it's largely because of the Android money.
Sherlund says that if you back out the Android profits, Microsoft is probably losing $2.5 billion on Skype, Xbox, and Windows Phone. Of that, $2 billion in losses are attributable to the Xbox platform.
Can someone tell me how is posible to have 2015 numbers if the year is not over?
Well, i don't know how accurate these numbers are but they seem to match what I've generally heard. It may explain to some degree Nintendo's difficulties. It's a likely safe and wise strategy, but their insistence on not risking initial losses to produce a competitive console does seem to hamstring them.
I do wonder what kind of consoles nintendo would have produced if they felt safe in absorbing the kinds of losses microsoft and Sony have often experienced in order to expand their consumer base. There's a definite disadvantage to being solely a gaming company.
This is is what makes this list inaccurate. They are not like for like numbers.
The argument of xbl sales is weak as Sony has had a huge growth in ps+ numbers and unlike MS, they rarely discount it as often or as much as MS.
In addition to all the above, MS has been cutting profits via price drops, bundling games and subscriptions to xbl far more than Sony. The numbers simply don't match up.
KLAMarine said:
Hey kowenicki, haven't seen you around in a while. Yeah, image has no source so good for little more than a bit of amusement. |
Wonder where he is. Although I am pro Sony, Kowenicki and I share a passion for timepieces.