obieslut said:
Last quater the games division was in the red, now microsoft are talking about price cuts and everything else. but what i am thinking is can they afford it. to me it just seems like they are in the games business just to try and hurt sony but they will have to make a profit at some point because if no then why are they in this business. they are billions of dollas in the red with the xbox brand and with the way they are going they are only going to get even deepr into the red.
I think if they kep up lik this then they are not going to last in the games market too long
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Microsoft Games Division wasn't in the RED last qtr, Microsoft's Entertainment Devices Division was, since they DO NOT HAVE a games division. It might be semantics to you, but that's clearly due to your lack of understanding about the proper methodology in reviewing an earnings statement. Also, in delving into the earnings report, the CAUSE of the loss wasn’t due to lack of product performance at the retail level, but instead due to massive capital investments and long term development investments by M$ to provide future growth in the division. So coupled with the cost reductions to console production lines, and the already expensed cost of support Xbox 360 repairs, this cut looks smart, given the current levels of growth the 306 has seen in 2008. Also, given that nearly EVERYBODY expected a cut in the early part of the year, vice now, it’s stupid to see how it’s a BAD decision.
"...You can't kill ideas with a sword, and you can't sink belief structures with a broadside. You defeat them by making them change..."
- From By Schism Rent Asunder
