By using this site, you agree to our Privacy Policy and our Terms of Use. Close

Forums - Gaming - Disappearing Act: Xbox Sales Plummet While Microsoft's Other Devices Continue To Struggle. (With spacing)

KLXVER said:

Couldnt read that even if I wanted to...

Jizz_Beard_ThePirate said:

Please... By the love of holy kittens... Put some spacing T_T

BananaKing21 said:

nope, nope, nope and nope. never reading that op!

WhiteEaglePL said:

Not reading beyond title.

POE said:

I get that the article was formatted poorly at first... but that doesn't give you the excuse to post non-contributive content such as this. Stay on topic or don't post at all please. (We have PMs and walls for a reason! I promise!)

Also, cut the quote trees please.



Around the Network
DirtyP2002 said:
jnemesh said:

You need to subtract the extortion money they are getting from Android.  Take that money out and they post a loss.

As I said, these rumors were debunked months ago.
Just one arguement for you: The Xbox business reported a profit before Android was even released.


Link or it didn't happen.  I never saw the "debunking" of this story.  It has been widely reported that they are "hiding" their losses with creative bookkeeping.  Also, you are wearing your colors in your tag.



Trunkin said:
Doesn't this fly in the face of M$'s reported 1.1mil Xbox growth YoY? Or am I totally misreading something.


You think 1.1 million Xbox Ones and 360s is good?



jnemesh said:
NobleTeam360 said:
jnemesh said:
Nadella doesn't seem the type to throw away money just for the sake of protecting failing products. His letter made it very clear...he values the BRAND...but he said nothing about the console itself. He talked a LOT about a "mobile-first, cloud-first" strategy, and how he would leverage the Xbox BRAND into that...but I think he tires as much as anyone of seeing product after product fail. My guess is that if sales don't pick up DRAMATICALLY by this holiday season, they will stick a fork in it.

Do people actually believe this?


Do people actually believe that MS will CONTINUE to lose money on a product after proving, over 15 years, that they are unable to turn a profit?  What's amazing is that people seem to think MS is actually a CHARITY instead of a BUSINESS!


Amen!  Preach it brother!



DirtyP2002 said:
jnemesh said:

You need to subtract the extortion money they are getting from Android.  Take that money out and they post a loss.

As I said, these rumors were debunked months ago.
Just one arguement for you: The Xbox business reported a profit before Android was even released.


That is just straight up false.



Around the Network
DirtyP2002 said:

What if I told you that the EDD / Computing and gaming hardware division (or whatever it was / is called) posted a healthy profit for 7 years in a row?

They just reported a 900 million USD profit for FY14.
850 million USD profit for FY13
380 million USD profit for FY12
1.26 billion USD profit for FY11
680 million USD profit for FY10
108 million USD profit for FY09
445 million USD profit for FY08

I am not making this up.

Sure this is not much compared to Windows, Servers or Office, but for the last 7 years, the Xbox business was a profitable one for Microsoft.

This. What some people don´t seem to understand, it that this has little or nothing to do with the Andrid Rumors (of which there aren´t any proof) and more with alot of investors not liking tha MS are into hardware nowadays. XBox has been a solid business deal for MS for a along time, but it is a very small piece of the compny, theefore some want it gone. I hope it stays though:).



jnemesh said:
DirtyP2002 said:
jnemesh said:

You need to subtract the extortion money they are getting from Android.  Take that money out and they post a loss.

As I said, these rumors were debunked months ago.
Just one arguement for you: The Xbox business reported a profit before Android was even released.


Link or it didn't happen.  I never saw the "debunking" of this story.  It has been widely reported that they are "hiding" their losses with creative bookkeeping.  Also, you are wearing your colors in your tag.

I have been reading your messages, and it seems your claim is based on 3rd party journalists and rumors. I mean yes it is true that Android patent royalties make the division profitable for Surface, Windows Phone, and Xbox, but that doesn't mean Xbox itself is posting a loss.

http://en.wikipedia.org/wiki/Android_%28operating_system%29

This wiki says that Android first came out in September 2008.

http://www.gamasutra.com/view/news/110426/Microsoft_Xbox_Division_Sees_426m_Profit_In_Fiscal_2008.php

$426 million profit from FY 08. Posted on July 2008. An official statement from Microsoft's quarterly statements.

Now the most crucial link:

http://www.zdnet.com/microsofts-most-profitable-mobile-operating-system-android-7000015094/

"Microsoft has been making hundreds of millions a year from Android since 2011"

Based on all three points, one can logically deduce that Xbox has been profitable before Android patents help drive profits in the entertainment and devices division. It has been profitable since 2008 - November 2013, as we don't know specifics since the 8th gen launch. While we don't know specific profit margins since the Xbox 1 launched, what we can know is that Xbox 360's continued profitability is either 1. making up for Xbox One's early losses or 2. Softening any losses until it can be self-sufficient.

Also, you made a valid point about investors calling for Xbox to be sold. This was explained because some investors want an all-in approach with Windows and MS Office, Microsoft's bread and butter. While the Xbox division is profitable, it is small change compared to the real cash cows of Microsoft. Regardless, it is still in fact profitable. As for Surface and Lumia, I have no comment on the matter.

I look forward to your response and hope we can come to a understanding.



Xbox is going to end up as just a name for the gaming part of the Marketplace at this rate. That, or they sell it.



The numbers you quoted are suspect in any case.  And MS was patent trolling Android before 2011 anyway...it's just that it came to the media's attention by 2011.  Here's the deal...I DON'T REALLY CARE!  You and I can argue about it until we are both blue in the face, but the FACT is that the people who DO know how badly they are failing see the TRUE numbers, and they AREN'T PRETTY!

If Xbox were successful, you wouldn't hear REPEATED calls from investors to spin off the division!  If they were profitable, NO ONE would have any doubt that they would keep making the console!  But they aren't and they havent been...so the speculation on when MS will pull the plug will continue.

You can delude yourself all you want with the PR spin that MS releases, but the TRUTH is that Xbox is a MINOR part of what MS does, and it's a minor part that LOSES MONEY!  Businesses exist to MAKE money, not lose it.  Once Xbox was part of a "grand scheme" to take over the living room...but the "living room" isn't as important a battleground these days...smartphones and tablets are where the "war" is being fought, and Xbox is nothing but a distraction from what Microsoft's core business is.  Will "Xbox" die?  No.  I am sure you will see "Xbox Music", "Xbox Video" and "XBox Games"....on Lumia handsets.  For the Bone?  It's done.  Just watch.



jnemesh said:

The numbers you quoted are suspect in any case.  And MS was patent trolling Android before 2011 anyway...it's just that it came to the media's attention by 2011.  Here's the deal...I DON'T REALLY CARE!  You and I can argue about it until we are both blue in the face, but the FACT is that the people who DO know how badly they are failing see the TRUE numbers, and they AREN'T PRETTY!

If Xbox were successful, you wouldn't hear REPEATED calls from investors to spin off the division!  If they were profitable, NO ONE would have any doubt that they would keep making the console!  But they aren't and they havent been...so the speculation on when MS will pull the plug will continue.

You can delude yourself all you want with the PR spin that MS releases, but the TRUTH is that Xbox is a MINOR part of what MS does, and it's a minor part that LOSES MONEY!  Businesses exist to MAKE money, not lose it.  Once Xbox was part of a "grand scheme" to take over the living room...but the "living room" isn't as important a battleground these days...smartphones and tablets are where the "war" is being fought, and Xbox is nothing but a distraction from what Microsoft's core business is.  Will "Xbox" die?  No.  I am sure you will see "Xbox Music", "Xbox Video" and "XBox Games"....on Lumia handsets.  For the Bone?  It's done.  Just watch.

Do you have a link about MS getting patent royalties prior to 2011? Even if that is true, the quarterly results from FY2008 were posted on July 2008 while Android never came out until September 2008. How do you explain that? Furthermore, Andorid in its infancy couldn't have given as much $$$ as it did in 2011 as it needed time to beas successful as it was. But regardless the links proved that Xbox itself was successful before Android released so I am very confused as to what your reasoning is.

Quarterly results don't lie, and again, Xbox profits were before Android released. Xbox is a minor part in what MS does, and that may be why investors ask for it to be sold, but doesn't mean its posting a loss for years when that is simply not true.

I still don't understand where you are coming from. Do you want Xbox to be gone out of personal bias? Because the links I provided are there for you to see.Again, to summarize, quarterly statements can't lie as that is illegal. Xbox has been profitable since before Android released. Please help me understand where you are coming from, preferably with official statements and numbers.