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Forums - Sales Discussion - Microsoft Entertainment Posts $130 million Loss in Q4 2009 : is the 360 in trouble ?

dbot on 24 July 2009
jcp234 said:
Dark Chaos said:
dbot said:
jcp234 said:
thx1139 said:
...

I am not sure I offered any analysis, or perhaps I am not aware of the definition that you are using for the word.  I stated a fact that the EDD has lost 198 million this year.  I should have included the word calendar before year, but I thought that was obvious in context of my overall post.  I agree with thx1139 that EDD is more than the xbox and that's why it is all but impossible to determine how this product is really performing.  Also, included in the division are the Zune, Surface, Microsoft Office retail (Windows and Mac), Microsoft Operating Systems (retail) , etc.  I will leave it to the amateur financial analysts to argue whether the profit from Office/XP/Vista and Zune sales outweigh any costs associated with R&D for Windows Mobile.  (You should be aware that MS doesn't book all R&D expenses in its segments.  Employee expenses and R&D overhead are booked at the corporate level.  But you probably already knew that. )

I think my original question is interesting, and I would appreciate any thoughts on it.  How can MS ship 100k more consoles in the pre-pricecut quarter?  

Where are u getting ur facts from. Last time I checked their OS sales are not in EDD.

Exactly. Most of the things posted are miss-informed. Office for Windows platforms is not in the group either, but the Mac version of Office is.

And as mentioned, I am pretty sure Operating systems are not in that group.

 

Again, the only mis-informed post is your own.  Any non-oem software license (PC/Mac) is sold and credited towards EDD.

"Entertainment and Devices Division (“EDD”) offerings include the Xbox 360 platform (which includes the Microsoft Xbox 360 video game console system, Xbox 360 video games, Xbox Live, and Xbox 360 accessories), the Zune digital music and entertainment platform, PC software games, online games and services, Mediaroom (our Internet protocol television software), the Surface computing platform, mobile and embedded device platforms, and other devices. EDD leads the development efforts for our line of consumer software and hardware products including application software for Apple’s Macintosh computers and Microsoft PC hardware products, and is responsible for all retail sales and marketing for Microsoft Office and Windows operating systems."

http://www.microsoft.com/msft/earnings/FY09/earn_rel_q4_09.mspx



Thanks for the input, Jeff.

 

 

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heruamon on 24 July 2009

Glad to see that ignorance is still strong on this thread with people who have no clue as to wha they are talking about...posting away...

wassup jcp...lol!



"...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

TruthforFree on 24 July 2009

@mario64 - how are you not banned yet???

All you do is spew irrational hatred towards anything microsoft related without any factual basis.

I'm shocked the mods allow your xbox 360 smear campaign to continue unabated to the detriment of the entire vgchartz community.

Sad



TruthforFree on 24 July 2009

@mario64 - You have NO CLUE what you are talking about.

Microsoft's entertainment divison was PROFITABLE for the second straight year!!!!

http://g4tv.com/thefeed/blog/post/697682/Microsofts-Entertainment-Division-Profitable-For-Second-Straight-Year.html

SONY HAS HAD 3 CONSECUTIVE YEARS OF UNPROFITABILY IN THEIR GAMING DIVISION.

Also, sony just reported a 1 billion dollar LOSS for the last fiscal year while microsoft reported 14.6 BILLION IN NET PROFIT!!!!!

http://www.twice.com/article/316309-Microsoft_2009_Revenue_Net_Income_Declines.php

The only falling and failing giant in the gaming industry is SONY.



piningforthefjords on 24 July 2009

Is the 360 in trouble? Not nearly as much as the PS3.



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jcp234 on 24 July 2009
dbot said:
jcp234 said:
Dark Chaos said:
dbot said:
jcp234 said:
thx1139 said:
...

I am not sure I offered any analysis, or perhaps I am not aware of the definition that you are using for the word.  I stated a fact that the EDD has lost 198 million this year.  I should have included the word calendar before year, but I thought that was obvious in context of my overall post.  I agree with thx1139 that EDD is more than the xbox and that's why it is all but impossible to determine how this product is really performing.  Also, included in the division are the Zune, Surface, Microsoft Office retail (Windows and Mac), Microsoft Operating Systems (retail) , etc.  I will leave it to the amateur financial analysts to argue whether the profit from Office/XP/Vista and Zune sales outweigh any costs associated with R&D for Windows Mobile.  (You should be aware that MS doesn't book all R&D expenses in its segments.  Employee expenses and R&D overhead are booked at the corporate level.  But you probably already knew that. )

I think my original question is interesting, and I would appreciate any thoughts on it.  How can MS ship 100k more consoles in the pre-pricecut quarter?  

Where are u getting ur facts from. Last time I checked their OS sales are not in EDD.

Exactly. Most of the things posted are miss-informed. Office for Windows platforms is not in the group either, but the Mac version of Office is.

And as mentioned, I am pretty sure Operating systems are not in that group.

 

Again, the only mis-informed post is your own.  Any non-oem software license (PC/Mac) is sold and credited towards EDD.

"Entertainment and Devices Division (“EDD”) offerings include the Xbox 360 platform (which includes the Microsoft Xbox 360 video game console system, Xbox 360 video games, Xbox Live, and Xbox 360 accessories), the Zune digital music and entertainment platform, PC software games, online games and services, Mediaroom (our Internet protocol television software), the Surface computing platform, mobile and embedded device platforms, and other devices. EDD leads the development efforts for our line of consumer software and hardware products including application software for Apple’s Macintosh computers and Microsoft PC hardware products, and is responsible for all retail sales and marketing for Microsoft Office and Windows operating systems."

http://www.microsoft.com/msft/earnings/FY09/earn_rel_q4_09.mspx

I guess you are right on this one. I'll give you that.



I'm not a fanboy, I just try to tip the balance in favor of logic and common sense.

thx1139 on 24 July 2009

and is responsible for all retail sales and marketing for Microsoft Office and Windows operating systems.

Sales and Marketing is an expense category.



Its libraries that sell systems not a single game.

magik10 on 25 July 2009

Someone do this math for me please. MS profit last fiscal year vs how long it would take Sony to generate the same profit based on their previous reportings.



NJ5 on 25 July 2009
magik10 said:
Someone do this math for me please. MS profit last fiscal year vs how long it would take Sony to generate the same profit based on their previous reportings.

In the last fiscal year Sony didn't have a profit, so it would never happen.

If you use the previous fiscal year (April 07 - March 08), they had $3.9 billion in net income, so it would take more than 3.5 years.

If you use the one before that, it would take even longer, more than 10.5 years.

 



My Mario Kart Wii friend code: 2707-1866-0957

magik10 on 25 July 2009
NJ5 said:
magik10 said:
Someone do this math for me please. MS profit last fiscal year vs how long it would take Sony to generate the same profit based on their previous reportings.

In the last fiscal year Sony didn't have a profit, so it would never happen.

If you use the previous fiscal year (April 07 - March 08), they had $3.9 billion in net income, so it would take more than 3.5 years.

If you use the one before that, it would take even longer, more than 10.5 years.

 

I was basically wanting to know how many previous fiscal years it'd take Sony to match MS's profits from just last year alone. You would certainly take into account the loss year(s) for Sony.