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MS CEO candidate Stephen Elop said to consider selling Xbox business, killing Bing

Cynn

Member
Samsung to buy the Xbox division.

I've often discussed this concept with friends. Either from buying Xbox or just making their own brand, a Samsung console could be one hell of an interesting thing. Sammy's pretty aggressive and has strong offerings. They came out of nowhere and dethroned Sony's TV empire. They're also one of the only real rivals to Apple in the mobile market. I'd love to see them shake up gaming.
 

Pie and Beans

Look for me on the local news, I'll be the guy arrested for trying to burn down a Nintendo exec's house.
Without the bottomless Microsoft pockets behind Xbox to buy those exclusives, to brute force their way through shonky engineering and lossy development, I don't see the division as viable.

This gen you're seeing Sony lead with the know-how, and Microsoft lead with the money. Take away the money and....?
 

Skeff

Member
In order for Nintendo to buy the Xbox brand they would need a CEO willing to spend money, which they certainly don't have yet. Too bad Sony isn't in a better financial situation, because the meltdowns of Sony buying the Xbox division would be the greatest day ever on the internet.

Depending on how it is spun off, Sony Could buy IP's/Studios if the division was dismantled instead of retained as a whole.
 

ЯAW

Banned
Who the hell would buy the Xbox business? Seems like console manufacturing isn't all that profitable business any more. There are big risks involved and without deep pockets you are only going to sink. Not to mention the ever chanching landscape of gaming is only making things harder for console manufacturers.
 

Fezan

Member
Please dnt shutdown bing. What will happen to porn search.

also instill dont get it. Xbox brandnis a establish brand which was profitablenfor 3 continious years. Also ms now finally has a 3rd brand after windows and office.(one of which is declyning in popularity)
 

Into

Member
Its absolutely on the cards, but before anyone starts worrying (or rejoicing?) wait to see how the Xbone does and who is made CEO. If its Elop and Xbone is not doing particularly well, which with its price likely wont do all that well, then you should start worrying.

The Xbox division on its own, as its own company wont be able to compete. The only reason Xbox is relevant today is because of massive amounts of money Microsoft has been willing to burn. At some point though, even a company like Microsoft says "enough is enough"
 
That analyst 'leak' of that info wasn't by accident.

Knives our out among various factions at MS, targeting certain parts of the business.

yeah, this's how its done. when you're a small but determined faction, you don't go for the throat, you nip at the heels...
 

wrowa

Member
But who would want to buy the Xbox divison? We haven't seen a new major player in over a decade - and there's a good reason for that. High-end consoles are too risky of a business and even if things go well profits tend to be rather slim these days. If it's not worth the investment for MS, then who else would consider it?

Amazon, Google or even Samsung might be interested in entering the gaming market, but it's safe to assume that all of those have cheaper more smartphone/tablet-like devices in mind. They might care for the brand and the IPs, but I can't see them being interested in the Xbox One.
 

Blueblur1

Member
Deals with MS could continue.

But the only way I could see it transitioning without major change would be if a very well heeled corporate picked it up and was interested in the console biz. A setup like Xbox needs a lot of capital backup.

Its one hefty undertaking. But if the business could be sustained I wouldn't mind it being in different hands.
 

Averon

Member
Something major will happen to the Xbox division within the next 3 years is my bet. Whether that selling the division or spinning it off, I don't know. Too much investor talk about something having to happen to the Xbox division for it not to happen.

With the XBO not looking like it will dominate NA like the 360 did, the Xbox division is especially vulnerable to investors' whims.
 
Does SAMSUNG even want to get into the gaming business???

Apple is clearly gunning the gaming business, why wouldn't Samsung?

Samsung makes similiar components to those inside the XB1.

Problem is content, but they have the $$$.

I don't see Google or Apple buying the Xbox brand and if it's an investment fund it's DOA.
 

ViciousDS

Banned
Would actually like to see what Samsung.....or even Assus(if they are interested) get into the business. Would at least have some great engineering behind the hardware.
 

Calm Killer

In all media, only true fans who consume every book, film, game, or pog collection deserve to know what's going on.
WOW that would be a bomb shell. Bad time for your system to bomb. Xbox 4 had such promise too....
 

Yagharek

Member
If this happened, even if the XBox brand was able to stand on its own two feet, it would be the biggest event in gaming since Sega went software only. It would dwarf that event too.
 

monome

Member
if two years ago, someone had forwarded me in time to the numerous threads about X1 and its long lists of problems and the perils it faces, I would have bought my multiplat games on PS3 and an Android phone...
 

FranXico

Member
Something major will happen to the Xbox division within the next 3 years is my bet. Whether that selling the division or spinning it off, I don't know. Too much investor talk about something having to happen to the Xbox division for it not to happen.

With the XBO not looking like it will dominate NA like the 360 did, the Xbox division is especially vulnerable to investors' whims.

IF the Xbox division was to become a spin off, Microsoft would still manage to somehow fund it through representation deals, and it would still be used to push Microsoft owned brands.

In the end, it would be a way to please investors, without actually changing the status quo significantly.

All this talk about Xbox going away is just meaningless when all is said and done.
 

Randdalf

Member
Selling off two major divisions of your company to boost your financial earnings at the end of the year seems like a shortsighted approach to me.
 
Samsung to buy the Xbox division.

Have they genuinely shown interest in the market previously? I imagine the number of companies interested in buying the division would be very limited, because over its life it's still lost MS billions of dollars. Most companies couldn't or wouldn't support such losses over 10+ years. Maybe Apple would be interested, maybe Tencent (are they big enough?), or maybe a consortium established just for that sole purpose.

Down the line, sure. It doesn't seem to make them money, but killing it after having spent hundres of millions, if not billions on R&D and not seeing the payoff seems rash.

New CEOs often close or offload unprofitable divisions when they step into the role. For anyone stepping into Ballmer's shoes, Xbox and Bing have been very costly endeavours that might be seen as taking resources away from more profitable ventures. Windows Phone is probably a money pit too at the moment, but that also has much more opportunity for growth so they would no doubt stand by that at least for a few years yet.
 

gofreak

GAF's Bob Woodward
Alan Mullally is the other big favourite to succeed Ballmer. I'm not sure if there's any info out there on his attitude to Xbox or Bing, but Rick Sherlund (analyst) thinks he would 'quickly' offload both if he got the position. But then again, Sherlund has had his knife out for the Xbox division for a while now.
 

Grayman

Member
Is Bing not able to be profitable? It seems like something very important to keep for microsoft for use in their own products and gathering customer data to sell ads. I could see lowering investment in Bing and slashing the cost spent advertising the platform as a much better option than killing the products.

I don't know if MS still has a good strategic goal in the xbox or not. They have missed mobile devices so far but eventually there is going to be a swing back to the living room at least in the form of interconnecting all devices and services and that is something that the xbox might get them tomorrow instead of a few years from now. The convergence devices run the market now but there can be disruption as they all learn to work with each other.

If that happened I can't imagine the Xbox business transitioning without taking a hit. Especially with how the Xbox One uses other Microsoft services like Azure.

I think public perception would be the biggest hit there. Even if it was spun off smoothly I think some customers would avoid the "abandoned platform"
 

avaya

Member
Elop gravitating to office us just him being comfortable with what he knows.

He is a terrible candidate for CEO.
 

Plinko

Wildcard berths that can't beat teams without a winning record should have homefield advantage
Honestly, this is the type of thing that could save Nintendo.

Probably would still need a new CEO, though.
 

FranXico

Member
Killing Bing while they are still heavily promoting it?

By "promoting it" you mean shoving it down people's throats?
Everybody I know who upgraded to Windows 8.1 (except one MS fanboy) has disabled Bing integration.

I really hope they do kill it.
 
Maximize what you got. Don't kill everything that isn't number 1.

Grown, rich, smart men. Are we still taking our ball and going home?
 

KingSnake

The Birthday Skeleton
Well besides Rare, i don't know what else is worth buying quite frankly, regarding ip's....oh okay there's halo.....

IPs, Kinect, online etc. Having readily available another console with a different target.

Not that it is a realistic perspective. It's not fitting to the Nintendo philosophy, too risky from the financial perspective.
 

Skeff

Member
Alan Mullally is the other big favourite to succeed Ballmer. I'm not sure if there's any info out there on his attitude to Xbox or Bing, but Rick Sherlund (analyst) thinks he would 'quickly' offload both if he got the position. But then again, Sherlund has had his knife out for the Xbox division for a while now.

Mullally strikes me as the kind of person who "wouldn't waste money on a toy that doesn't make money" If you know what I mean.
 
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