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Forums - Sales Discussion - Profit Numbers: Nintendo, Sony (Game Segment) and Microsoft (EDD Segment)

nintendo has made 10x as much money as sony has in the game industry, that's just amazing.



currently playing: Skyward Sword, Mario Sunshine, Xenoblade Chronicles X

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k weba... can anyone summarize this???



nintendo owes all to one system and that is the gameboy. when they were losing the console wars to sony. gameboy was their to save them from massive losses thanks to gameboy,gameboy color, and gameboy advance. the game that made the gameboy huge and made nintendo hella money is one and only pokemon. pokemon explode and made them so much money



sungson said:
nintendo owes all to one system and that is the gameboy. when they were losing the console wars to sony. gameboy was their to save them from massive losses thanks to gameboy,gameboy color, and gameboy advance. the game that made the gameboy huge and made nintendo hella money is one and only pokemon. pokemon explode and made them so much money

Surely gameboy is a big part of it, but N64 and gamecube were profitable for them.  They sold the systems at a profit and 1st party sales were huge on those systems.

 



currently playing: Skyward Sword, Mario Sunshine, Xenoblade Chronicles X

with that kind of money why does nintendo only stay a game company??
you would think that since they can run a company so well even when they are "losing" they would move into other industries and do the same.

computers anyone??



hello how are you.

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how come microsoft numbers are almost all red?



bRoKeN said:
how come microsoft numbers are almost all red?

 

gaming division have always lost money til 2007.

but microsoft maintain with other business like operating system ads revenue.

 

in the end nintendo always makes profits.

sony start shaky but at the third year -fouth - fifth year makes most of profits then go down.

 



probably cuz for a company to move into a new industry just because they have extra money spreads out their resources and they could fail in a new industry they have no experience in which can put their core business in danger. or so the CEO of a fortune 500 company told me. it makes more sense for nintendo to spend that money on video games. afterall, good times don't last forever.

i am amazed that nintendo outsold sony in gaming every year, sometimes by a lot, except 2003 the whole time that sony was dominating with psx and ps2. nintendo has a way way better business model than sony and microsoft.



end of '08 predictions: wii - 43 million,  360 - 25 million, ps3 - 20 million

 

Games I've beat recently: Super Mario Galaxy, Knights of the Old Republic, Shadow of the Collossus

 

Proud owner of wii, gamecube, xbox, ps2, dreamcast, n64, snes, genesis, 3DO, nes, atari, intellivision, unisonic tournament 2000, and gameboy

One issue with the MS one is that it takes into account far more then just the Xbox. Included in the EDD segment are things that are actually profitable such as the microsoft branded keyboards and mice as well as PC games made by microsoft studios such as Ensemble. They purposely obscure the Xbox revenue by including it with many other devices because it is almost certainly still losing money (particularly with the ongoing RROD repair cost allowance of over a billion).  Even things as far from gaming as Windows Mobile phone licensing is included in that number.  Given that all the other areas turned a profit before teh Xbox brought the division into loss territory its almost certain that the xbox is at best breaking even allowing the other more profitable divisions to keep the segment in the black.

Maybe the Xbox division ekked out a narrow profit last year, but I doubt it. Sony on the other hand breaks out all their divisions quite extensively so whatever is made/lost on the PS systems is completely contained accurately and not obscured by PS systems being bundled in with TVs or whatever.

As to Sony I don't think they look at the PS as their main money maker (as Nintendo has to, since they don't make anything else) and partially use the PS as a vehicle to push other Sony products such as Blu Ray, HDTVs, Recievers, speakers ect, ect. Even with the PS3 losing money the past few years Sony posted its first loss in almost 2 decades this past year, Sony as a whole has been very profitable for a long time.




 PSN ID: ChosenOne feel free to add me

Very cool. Sony seems to be very high revenue but with very high costs.



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