From Xboxfanboy.com that got it from CVG

 

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Microsoft preps for 'tough times' in 2009

Posted Dec 4th 2008 11:00AM by Dustin Burg
Filed under: News

CVG 's Article

Xbox division plans for "tough times"

Thursday 4-Dec-2008 10:31 AM Shane Kim reckons things will get tough next year...

Microsoft's big boss of games, Shane Kim, believes times could get tough next year as the credit crunch (or recession as it's now being known) bites even harder and we all stop buying the fun.

Kim told a Reuters Media Summit that the games business is on track to grow 20 percent this year, but "people are not projecting that kind of growth" for 2009.

"Who knows, maybe flat performance will be considered a remarkable achievement," he said. "It's difficult to predict the future," he added, noting the gaming industry has traditionally fared well in hard times. "While they may cut back on large purchases like automobiles or appliances, they're still looking for entertainment."

We'll take Halo: ABCD (or whatever it's called) and GT5 over a new fridge any day.

Kim said his unit is planning for "tough times" but "a big objective for us is to deliver most entertainment value for the dollar," he said.

Will you be tightening your belt next year or letting it all hang out? Sound off below.

I think we will definitely see bargain games selling faster next year. Maybe even see XBL and other cheaper downloadble titles moving units. If you look at recessions in the past - entertainment normally did pretty well because people want to be distracted from the sad things happening in their lives.

Movies might even make a rebound and start selling tickets - at the dollar theatres...

Consoles and brand new game sales will probably be down quite a bit if the economy keeps trending down.

????

If even MS is about to cut costs, I can't even begin to imagine what Sony is going to announce in January/February.

I think the statement is a cover up. I think they are more scared of what the PS3 will do in 2009 than the economy. As the cheapest console on the market the economy can only help X360 sales.....rite? Look how its performing now.

SMcc1887 said: I think the statement is a cover up. I think they are more scared of what the PS3 will do in 2009 than the economy. As the cheapest console on the market the economy can only help X360 sales.....rite? Look how its performing now.

I can't tell if you're serious or not, but LOL either way.

 

badgenome said: SMcc1887 said: I think the statement is a cover up. I think they are more scared of what the PS3 will do in 2009 than the economy. As the cheapest console on the market the economy can only help X360 sales.....rite? Look how its performing now. I can't tell if you're serious or not, but LOL either way.

Oh im serious. People are still wanting and going to buy games/consoles so why would the cheapest console on the market be scared of the economy. Anything cheap sells better in such times, again look at sales now.

 

Depends on how tough things are going to get -- talking about the big picture. In Ms favor, they have the 360 down below $199.99, so I am sure it will continue to do well. Still worry by a person in such a high place in Ms about the coming financial troubles of '09 does make one worry more about what's coming down the pike in all respects (not just gaming). So far as I can see the only idea that I've seen from anybody about what to do is hand rich people billions of dollers so they can give company managers bonuses and vacations to exotic islands. Yet nothing about how to assist those of us making $30,000.00 a year and less out. No one is bailing us out of our debts.

It took WWII to pull folks out of the first Great Depression. I don't know what it will take to either pull out or avert it from happening this time.

SMcc1887 said: badgenome said: SMcc1887 said: I think the statement is a cover up. I think they are more scared of what the PS3 will do in 2009 than the economy. As the cheapest console on the market the economy can only help X360 sales.....rite? Look how its performing now. I can't tell if you're serious or not, but LOL either way.   Oh im serious. People are still wanting and going to buy games/consoles so why would the cheapest console on the market be scared of the economy. Anything cheap sells better in such times, again look at sales now.

Even if you were right and Microsoft was scared of the PS3, why would Microsoft cut costs in response? If anything they'd have larger costs in order to keep competitive.

It seems fanciful to see any relationship between these statements and the PS3.

 

SMcc1887 said: badgenome said: SMcc1887 said: I think the statement is a cover up. I think they are more scared of what the PS3 will do in 2009 than the economy. As the cheapest console on the market the economy can only help X360 sales.....rite? Look how its performing now. I can't tell if you're serious or not, but LOL either way.   Oh im serious. People are still wanting and going to buy games/consoles so why would the cheapest console on the market be scared of the economy. Anything cheap sells better in such times, again look at sales now.

In that case: