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[statham]

Imagine if Microsoft dropped the price. They haven't price dropped in 3 years and they're still breezing through.

Hmm, what would happen?

sony quits the console buisiness. its funny MS is the most expensive console now, but still sells the most.

 

[Road]

Xbox 360 platform revenue grew $114 million or 7%, led by higher Xbox LIVE revenue, offset in part by decreased video game revenue and lower volumes of Xbox 360 consoles sold. Video game revenue decreased due to strong sales of Halo Reach in the prior year. We shipped 2.3 million Xbox 360 consoles during the first quarter of fiscal year 2012, compared with 2.8 million Xbox 360 consoles during the first quarter of fiscal year 2011.

So, if my math is right, Xbox revenue was $1.74 billion, or 89% of all EDD revenue -- $1.96 billion.

 

[cabottemp]

Gratz, though i always wonder how many of those ROD'ed and had to be replaced

I myself have gone through 7 Xbox consoles

Spoiler

and will go through 7 more, if need be.

.

 

[Majine]

When can we expect to hear from the other two?

 

[LuchaShaq]

Hah, it's gotten to the point where it's amazing that Microsoft is almost as profitable and not drawing anywhere near as much revenue as Apple. Talk about a role reversal. Ten years ago, it'd be amazing if you could put Apple in the same sentence as Microsoft and not crack up laughing.

That's even with the zune HD/brand going down the shitter despite the Zune HD being amazing hardware and the zune software being better in basically every way than itunes except for buying apps.

 

[jim-jam bongs]

Hah, it's gotten to the point where it's amazing that Microsoft is almost as profitable and not drawing anywhere near as much revenue as Apple. Talk about a role reversal. Ten years ago, it'd be amazing if you could put Apple in the same sentence as Microsoft and not crack up laughing.

I used Microsoft Office on my Apple Macintosh G3 with OS9.

HA!

 

[watership]

Though I can't help but think, what if, this console had been rock solid, on the hardware side. Possibly could have been, much, much more thank 57mil.

I have lots of friends that will never buy a 360 because they still think it'll break. It didn't help that the 360 failure became iconic imagery with the RROD. Branding failure is a bad idea.

Next Gen Xbox development meeting

Engineer: "And when there is a hardware problem, it will make this sound and a cute little light will p--"(GUNSHOT)

Don Mattrick holsters his gun. "There will be... nothing."

 

[Truespeed]

Remember this guy?

Sigh, I miss playing online with Manny Pacquiao. Too busy with politics, I guess.

 

[allan-bh]

Microsoft is a very profitable company, don't know why Apple market value is so much higher.

 

[Stumpokapow]

That's even with the zune HD/brand going down the shitter despite the Zune HD being amazing hardware and the zune software being better in basically every way than itunes except for buying apps.

If you say so.

 

[FStop7]

Pretty amazing evolution for the console during its lifecycle. The 360 I have today bears little resemblance to the one I bought in 2006.

Remember this guy?
http://i56.tinypic.com/123p9if.jpg

I know I'm in the minority but I greatly preferred the far simpler and cleaner original blade design. NXE is a hot mess. I'm cautiously optimistic about the Metro style update.

 

[bigtroyjon]

Starting to see the impact of phones on the division(LOL).

q1FY2011 xbox revenue-1.51 billion
q1FY2012 xbox revenue-1.63 billion

q1FY2011 other revenue-280 million
q1FY2012 other revenue-334 million

 

[jim-jam bongs]

Wait, is this going to turn into an Apple vs Microsoft thread? Because if it is I'll have to put on my ripped jeans and flannel shirt since we've apparently been transported back in time to the mid 90s.

 

[Combichristoffersen]

Imagine if Microsoft dropped the price. They haven't price dropped in 3 years and they're still breezing through.

Hmm, what would happen?

Huge bump in the US and UK, decent bump in mainland Europe, crickets chirping in Japan

 

[Corto]

I used Microsoft Office on my Apple Macintosh G3 with OS9.

HA!

That is disgusting! You should feel ashamed. AppleWorks or bust!

 

[[Nintex]]

Wait, is this going to turn into an Apple vs Microsoft thread? Because if it is I'll have to put on my ripped jeans and flannel shirt since we've apparently been transported back in time to the mid 90s.

Get your silver poncho's out this'll get ugly.


Also an 8% increase in R&D costs and they just keep hiring and expanding, that next gen xbox will hit before 2013, develop should quadruple check their sources.

 

[specialguy]

So Sony, shipped 3.5m PS3 Jul-Sep 2010

Working out USA+Japan PS3 sales July-Sep 2010=1,072k

July-Sep 11=1,135k

Of course that doesn't include Europe, but it should give us some idea, as it seems unlikely one territory would deviate from the historical norm when the others dont. EG, if sales in USA and Japan are similar one year to the next, no reason to think they'd vary wildly in EU absent an outside factor.

Pretty similar end user sales might indicate similar shipments. So I dont know, 3.3-3.5m for PS3?

3.5m would put them 2.3m from 360 LTD.

Like I said, if MS wants to keep the lead from jeopardy, they probably need to cut.

Edit: corrected numbers, was off by a couple hundred k for Japan, doesn't change the gist.

 

[Boney]

Looks like Sony will ship 3.5m or more. Not sure how Microsoft can NOT price drop and expect to win 2011. Even if the holiday quarter is typically strong for MS.

Anybody feel like working up USA+Japan Jul-Sep 2010 vs Jul-Sep 2011 PS3 end user sales? From that we could get a closer idea what they might ship this quarter. I'll probably do it in a minute..

Winning

 

[rpmurphy]

When can we expect to hear from the other two?

Nintendo: Oct. 27, 2011
Sony: Nov. 2, 2011

 

[codhand]

Here's the PR for the first quarter.

http://www.microsoft.com/presspass/...0fy12Q1earningsPR.mspx?rss_fdn=Press Releases

annd here's the reality

MSFT 26.71‎ -0.33‎ (-1.22%&#8206 After Hours

 

[kneePat]

Microsoft is a very profitable company, don't know why Apple market value is so much higher.

Inflated stock price, also Apple's assets (cash in hand) + equity.

 

[allan-bh]

I doubt Sony has shipped 3M+ this quarter.

 

[jim-jam bongs]

That is disgusting! You should feel ashamed. AppleWorks or bust!

Pish posh. And MSIE5.5 for Mac was the best browser evar.

Evar.

 

[Liquidsnake]

Sigh, I miss playing online with Manny Pacquiao. Too busy with politics, I guess.

Oh shit. I really spit water out my mouth. Thanks man.

 

[Carl]

I doubt Sony has shipped 3M+ this quarter.

Their US+Japan sales are pretty similar to same Q last year (as Specialguy shows) so it wouldn't surprise me.

 

[bigtroyjon]

Also an 8% increase in R&D costs and they just keep hiring and expanding, that next gen xbox will hit before 2013, develop should quadruple check their sources.

Analysis like this can't really be made, Windows phone just released a huge update that probably took a bunch of R&D money and I'm sure they are working on 8.

No way to tell where the money is actually going to.

 

[Tashi]

I like when all of the consoles are successful

 

[Conflict NZ]

Looks like Sony will ship 3.5m or more. Not sure how Microsoft can NOT price drop and expect to win 2011. Even if the holiday quarter is typically strong for MS.

Anybody feel like working up USA+Japan Jul-Sep 2010 vs Jul-Sep 2011 PS3 end user sales? From that we could get a closer idea what they might ship this quarter. I'll probably do it in a minute..

If Sony do end up shipping more than Microsoft a large percentage of that lead will be from Japan. Microsoft cutting the price would have absolutely no effect there since most retailers have dropped the console and if Microsoft are selling on par with Sony in other regions they have no reason to drop the price as they are still making a lot of money, probably more than Sony.

 

[NemesisPrime]

Sony:


Looks like Sony will ship 3.5m or more. Not sure how Microsoft can NOT price drop and expect to win 2011. Even if the holiday quarter is typically strong for MS.

Anybody feel like working up USA+Japan Jul-Sep 2010 vs Jul-Sep 2011 PS3 end user sales? From that we could get a closer idea what they might ship this quarter. I'll probably do it in a minute..

MS has already won this gen vs Sony. I don't think they care much any more TBH. From now on it is cruise control for them.

 

[zomgbbqftw]

I doubt Sony has shipped 3M+ this quarter.

Really? They shipped $3.5m last year at a higher price point. I know the momentum was better then, but I would be very surprised if Sony shipped less than 3m. My guess is 3.3-3.7m and 6.5m for Q4.

 

[bigtroyjon]

Inflated stock price, also Apple's assets (cash in hand) + equity.

Microsoft has almost twice as much cash on hand as Apple and total assets for Microsoft are about 2 billion higher.

Apple's market cap is higher because they have greater potential for growth and also because they don't pay dividends. A lot of Microsoft's value has been transferred back to the shareholders already.

 

[Gravijah]

Wait, is this going to turn into an Apple vs Microsoft thread? Because if it is I'll have to put on my ripped jeans and flannel shirt since we've apparently been transported back in time to the mid 90s.

we've traveled back in time to 2011

 

[TheOddOne]

I like when all of the consoles are successful

 

[[Nintex]]

Sony's still ahead of Microsoft in Europe and especially Japan. They've gained the most from Nintendo dropping the ball in those regions.

As for the Xbox 360... it seems like Kinect is really a one trick pony and not something that can carry the brand worldwide for a long time. MS is still very strong when it comes to online revenue, the US market and especially software because Xbox 360 games and high profile exclusives sell by the truckloads.

 

[Shiggy]

Without Rare, they would've made a higher profit this generation. But those are sunk costs now, not that Rare matters anyway, anywhere, anyhow, anytime.

 

[[Nintex]]

Without Rare, they would've made a higher profit this generation. But those are sunk costs now, not that Rare matters anyway, anywhere, anyhow, anytime.

How much did those 300+ developers waste during 2006-2009?

Must've been an awful lot of cash.

 

[TheOddOne]

Without Rare, they would've made a higher profit this generation. But those are sunk costs now, not that Rare matters anyway, anywhere, anyhow, anytime.

Other companies using their tech, so there not that useless but yeah.

 

[Shiggy]

How much did those 300+ developers waste during 2006-2009?

Must've been an awful lot of cash.

Diddy Kong Racing DS made quite a lot of money, didn't it?

 

[Satchel]

Amazing to think how MS has done this gen given last gen's outcome and the fact that it only really sells well in 3 countries worldwide.

Boggles the mind.

 

[CountAntonius]

Without Rare, they would've made a higher profit this generation. But those are sunk costs now, not that Rare matters anyway, anywhere, anyhow, anytime.

With their work on Avatars and Kinect Sports I think they are still pretty relevant, just not in the way most gamers would like them to be.

 

[Shiggy]

Other companies using their tech, so there not that useless but yeah.

Right, for "insourcing" they were quite good, but way too expensive.

 

[TheOddOne]

Right, for "insourcing" they were quite good, but way too expensive.

True, its the only silverlining I can see but way to expensive indeed.

 

[specialguy]

Microsoft is a very profitable company, don't know why Apple market value is so much higher.

Mostly because of simple public opinion. Apple is perceived as a company with a huge upside whereas MS is perceived as one with little upside at all.

Personally I think Apple is in for some rough (er) times ahead, but aside from that the analysts aren't terribly wrong about MS. With WP7 doing so poorly.

IMO Balmer needed to be fired ages ago.

 

[[Nintex]]

Mostly because of simple public opinion. Apple is perceived as a company with a huge upside whereas MS is perceived as one with little upside at all.

Personally I think Apple is in for some rough (er) times ahead, but aside from that the analysts aren't terribly wrong about MS. With WP7 doing so poorly.

IMO Balmer needed to be fired ages ago.

You know Microsoft makes money from their competitors right? They make money on Android and other OS's, they recently made another deal with Samsung over some technology stuff.

 

[allan-bh]

PS3 shipments in apr-jun quarter was 0.6m smaller than same period in 2010.

Even with price drop in this quarter, shipments will be down YoY.

 

[TheOddOne]

How much profit does MS make on each 360 sold? Has that ever been said?

 

[Theonik]

Imagine if Microsoft dropped the price. They haven't price dropped in 3 years and they're still breezing through.

Hmm, what would happen?

Apart from a short-term gain in sales not much. 360 has already hit mass market price with the arcade units for a while.

 

[jmdajr]

not bad.

in before wii, and next generation won't be out until after wiiU

 

[Carl]

How is Kinect doing anyway, did they give us an update in the report ?

Not had an update on it since they told us it had sold 10 million

 

[NavNucST3]

Their US+Japan sales are pretty similar to same Q last year (as Specialguy shows) so it wouldn't surprise me.

Sell-through and sell-in are difficult to reconcile at times. Even though Sony sold-through more units in the US their first quarter they still shipped fewer by a not insignificant number.

Whether Sony does another 3.5M I'm not sure that should be viewed as good unless they expect unseen numbers the next two quarters (assuming they don't revise down) they are going to miss their FY forecast again. You figure right now they are already 1.3 below (.7 miss from last full FY + .6 underage from Q1) where they "need" to be.