MS hasn't had a gaming division for years.
Makes it hard to come up with anything. We do know that Nintendo lost $900 million for the year and last tally still had the Xbox endeavor costing the company $5.8 billion?
Just remember there is a difference between revenue and profit.
AFAIK I havent really kept up but just by the "gaming division" totals, X360 should be at LEAST break even while Xbox lost about 4B? However the EDD division has been profitable for at least 4 years I believe and currently churning half a billion a quarter profit. Then it's likely actually Xbox 360 totals are better than division totals since the rest of EDD is likely a money loser.
So i think your 5.8 figure is way high, AFAIK it'd be 4b tops, all from the original Xbox.
But someone else could maybe speak to that better than me, I've not kept up. Also GAF stopped keeping track once Sony eliminated it's gaming division.
Not to say all the rumors don't have some truth to them, but for example, what makes the "based on a 7xxx" rumor more or less valid than the "6670" rumor? Both sides have picked the rumors that suit their agenda the best and dug in.
Somebody on B3D pointed out, a 6670 would be a ridiculous choice for a console. Whatever it is, there's no way it's that. For example, if "cheap" is the idea, the just released HD7770 is way more capable (1.28 teraflop) and has just 123mm^2 die (very tiny, like 1/3 original Xenos size, which was 337mm^2 with EDRAM included, 232mm^2 without EDRAM). So even if Microsoft was hell bent on making a piece of shit cheap console, the 6670 would be a non starter. Plus I was looking at benchmarks and the 640 SP 7770 punches above it's weight, it's usually faster than the 800 SP 5770, and I think I saw one game where it beats 1120 SP 6870.
It's almost to the point where it's impossible to build a console that
isn't a nice leap.