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Forums - Microsoft Discussion - Washington Post: Investors Want Microsoft’s New CEO to Kill Xbox, Bing and Surface

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Zekkyou on 10 February 2014
ethomaz said:
Zekkyou said:
I can understand wanting to get rid of Xbox and surface, neither have made much of a return on their total investment despite ungodly amounts of marketing money, but getting rid of Bing would just be plain stupid. Bing doesn't need to make money, it just needs to compete with Google.

That said i doubt MS will sell the Xbox brand. They are far too obsessed with this "controlling the living room" jazz.

About Bing... no company create a service just to compete with Google... they need at least that Bing mantain itself (overall no loss or profit)... this is the mininum to mantain a service running... and Bing just had loss until now.

How big are Bing's losses right now?



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ROBOTECHHEAVEN on 10 February 2014

m$ wont sell the xbox divison or cancel it, and alot of the so called changes that the investors want wont happen either, unless the majority share holder gives the ok to do that. And the majority share holder is one man ( bill gates ), not going to happen at all, unless gates says so, period end of discussion.....



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think-man on 10 February 2014

They're not going to sell Xbox, that's just every opposing fanboys fantasy.



 

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manny10032 on 10 February 2014

Man this rumor never dies.



FlamingWeazel on 10 February 2014
think-man said:
They're not going to sell Xbox, that's just every opposing fanboys fantasy.


Please don't generalize and speak for everyone, many know competition is a good thing, last thing I want is MS to sell xbox.



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MoHasanie on 10 February 2014

Why sell it if it's profitable?!



    

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Subie_Greg on 10 February 2014
MoHasanie said:
Why sell it if it's profitable?!

It's not really. If you did the numbers from start until now (R&D of first Xbox all the way to now) you'd find it isn't a money maker. 

I said this in another thread, all 3 of the home consoles are in not so good shape. The Wii U is poor (3DS is good), Playstation is doing good (Sony not so much) and Xbox never really has do well (Microsoft is hella good).

Companies trim less then stellar divisions all the time... look at Hess Oil as a very good current example of that. 



TheGoldenBoy on 10 February 2014
FlamingWeazel said:
think-man said:
They're not going to sell Xbox, that's just every opposing fanboys fantasy.


Please don't generalize and speak for everyone, many know competition is a good thing, last thing I want is MS to sell xbox.


Exactly. The gaming industry is better when Microsoft, Nintendo, and Sony are at their best. 



ethomaz on 10 February 2014

Zekkyou said:

How big are Bing's losses right now?

$1.3 billion in FY2013 (ended in June 2013).



Normchacho on 10 February 2014
Soundwave said:
fleischr said:
Nem said:
Maybe Nintendo should buy the Xbox division from Microsoft. lol

Seriously though, i am thinking that its a a strong possibility that Microsoft kills the Xbox. The X1 is not doing well in europe and has no chance in Japan. It will be a 1 region console and even on that region its losing to Sony. For the situation to change, Microsoft is gonna need to take losses on the X1. Will they be willing to? Or will they just kill it?

I wonder...


I don't think MS's board can tolerate losses on the gaming division any longer. But they may find another company foolish enough to partner in spinoff effort that will take the losses.


LOL, the gaming divisions losses are nothing, MS generates billions of profit each quarter gaurunteed. They've made more money in the last 3 months than Sony has in the last 10 years combined. 

The thing with investors is they can be short sighted. MS is kinda damned if they do/damned if they don't ... if they try to branch out with ventures like XBox and Surface some investors will cry about not making immediate monster profits, even though the company as a whole makes incredible profit year after year. 

But on the other hand you have the Apple scenario ... another company that's wildly profitable, yet their investors are crying because Apple isn't branching out enough with other products. 

MS could ditch the XBox, but in 10 years, their investors may be crying about why MS just sat around and watched Windows become irrelevant and didn't follow through on things like Surface and XBox. 

Short sighted? The Xbox division has been around since 2001 and is still in the red. I don't think there is a danger of them getting rid of it anytime soon, but if the Xbox One struggles to make a profit you could see even more serious pressure to lose the brand.



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