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Bill Gates: "If MSFT CEO Nadella wants 2 spin off @XBox biz I'm absolutely for it."

Hip Hop

Member
What does it mean by spin-off? sell the company?

I can't see anyone else sustain the brand but Microsoft.
 

cw_sasuke

If all DLC came tied to $13 figurines, I'd consider all DLC to be free
If guys, if. That's a big if since Nadella just recently said he wouldn't spin it off.

Don't see how this is breaking. What's he found to say? "Screw that Nadella guy! I still call the shots here. I wouldn't support any decisions he wants to make!"
True, but we will see what he says 1 year from now depending on a lackluster Xbox One performance. It'll be interesting.
 
If they do get spun off as their own company MS is going to have to drop a lot of money on the company at the start other wise it would crash and burn right away. For the time being it's probably best to keep Xbox as a part of MS proper.
 
I assume spinning it off would mean they would no longer be able to hide its losses behind the android patents, so we'd finally have a clear picture of how it's doing - which could well then lead to it being sold if it really is still making a loss as many shareholders believe
 

Jomjom

Banned
True, but we will see what he says 1 year from now depending on a lackluster Xbox One performance. It'll be interesting.

I only see MS going up and up from here. Their E3 is going to be killer. So I really don't think it'll be an issue.
 
Just supporting the CEO. The CEO doesn't actually want to spin it off, at least he has implied no such intention. Beyond that, there's nothing more there.
 
Didn't Nadella just recently and explicitly state that he was in favor of focusing on it rather than spinning it off?

I don't know, could you provide a quote?

I can find Phil Spencer quote
"In terms of Microsoft's commitment in the [gaming] space, I know both Satya and Stephen Elop, I know them well. I've had explicit conversations with them about Microsoft's commitment to Xbox--they're extremely committed to Xbox"
 
I'd rather wait to see the original quote in context than jump to conclusions based on this Tweet, but interesting nonetheless.
 

twobear

sputum-flecked apoplexy
Although spinning a division into a separate company isn't necessarily the precursor to a sell-off, how frequently is it the precursor to a sell-off?
 

Marcel

Member
True, but we will see what he says 1 year from now depending on a lackluster Xbox One performance. It'll be interesting.

It's already lackluster. They've already pursued certain options successfully and others are likely waiting in the wings. They're beholden to the board and the investors, after all.
 
He probably means using Xbox/XBL as a launching pad for new content or a new service.

That's usually what is inferred by "spinning" something off.

I don't think Gates is shopping the XBOX DIVISION on Twitter lol..


If he is, he's got some BIG BALLS.
 

EL CUCO

Member
TEcprY6.jpg
 

Pooya

Member
If they did this a few years ago it was actually good for it, now that the corporate goals of rest the company is sinking it, it will just drop dead if they spin it off.

MS so timely with their business decisions again!
 
Spin off doesn't necessarily mean sell to the highest bidder....

I mean sony's financial woes could lead to the playstation division being spinned off into its own company.
 
That's suprising to say the least. I thought Bill saw Xbox as his pet project. I'm kind of curious who high-up would be fighting in the Xbox divisions favor now. Elop?
 

jesu

Member
Gates, the founder and former CEO of Microsoft, said he’s been helping new CEO Satya Nadella transition into his new leadership role and that he would support Nadella if the new CEO proposed a spinoff of one of Microsoft’s units.

But Gates said he didn’t foresee either Bing, the company’s search engine division, or Xbox, its gaming division, as potential stand-alone companies because they are part of Microsoft’s long-term strategy.

http://www.foxbusiness.com/markets/...cial-media-stocks-ipos/?cmpid=cmty_twitter_fb

Question is at the 25 minute mark
 

Jomjom

Banned
It's already lackluster. They've already pursued certain options successfully and others are likely waiting in the wings. They're beholden to the board and the investors, after all.

Wouldn't call it lackluster. They've sold an enormous amount and aren't losing much on the console itself. Game license fees and gold subs is all gravy.
 

Into

Member
Gates is just supporting Nadella, MS does not need their new CEO to be undermined.

As to why he was even asked that question, does raise eyebrows, because there have been many journalists in the tech world who have reported similar ideas.

Its nothing to worry about if you are a Xbox fan, the only thing this might mean, is that the rope is tighter for Xbox One, and investors want profit and profit only, this might mean they wont bleed money to sell the product and price it at 299 or buy massive exclusive deals.
 
All this says is if they DECIDED to spin off Xbox, he would be okay with it. Doesn't mean it's happening.

Would be funny if it happened though.
 

Minions

Member
Spinning Xbox off would solve a couple issues. 1) It would appease the investors that don't want it affecting their company; 2) It would have its own stock which could go up and down without affecting the other.

Negative affects are that it would be easier/faster to sell to someone else in the future; You can't hide profit/loss numbers in other parts of the company because the entire company is only Xbox.
 
If this happened... woah.

So many people I know would implode, then meltdown, then implode again.

Why? XBox is XBox... if MS owns it or some other faceless mega corp, it doesn't change anything. I don't understand why people cling so much to the companies behind the machines?
 

flkraven

Member
Spin-off doesn't imply or necessitate another company acquiring it.
If it does occur it would probably be more as your latter comment, spinning out the division as an independent company.

Spinning =/= Selling

Can this be put in the OP please? There are still countless posts after this still saying Microsoft is selling the division and that this is Amazon's opportunity to buy it, even though the meaning of 'spin-off' in the corporate world is just that. Basically, spinning it off into it's own 'mini' company under the Microsoft umbrella.
 

Tomcat

Member
This Amazon stuff needs to stop. Do people who say that it could buy the Xbox division have ever seen the amazons profits?
 
It's fascinating to see the movement with this branch of MS. It's certainly a tenuous relationship. I imagine this year is going to be very important to the future of Xbox. Not in the sense that it will go away if it doesn't succeed, but rather, that the future of Xbox may well rest in someone else's hands if the branch doesn't convince investors (and clearly some higher ups) that the Xbox is worth the company's effort.
 
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