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Washington post: Investors want MS to kill Xbox

angrygnat

Member
Aren't investors supposed to be looking at the longview? Like, while we're all playing checkers, aren't they supposed to be playing chess? Who wants to cank a multibillion dollar project less than 3 months in? XB1 is in its infancy. The important investors know this. They know that the big money is years down the road.
 
Aren't investors supposed to be looking at the longview? Like, while we're all playing checkers, aren't they supposed to be playing chess? Who wants to cank a multibillion dollar project less than 3 months in? XB1 is in its infancy. The important investors know this. They know that the big money is years down the road.

The big money from the Xbox venture has been 'down the road' for 10 years. If it's revealed (as many investors suspect) that Microsoft has been hiding big losses from the Xbox division by lumping the profit from Android patents into the EAD's revenue figures then Xbox may be in big trouble.
 

coldone

Member
Nintendo should buy Xbox.

Shore up their big weaknesses.

That will be best combination. Microsoft need not sell xbox for all cash, can even push for some stock in the nintendo.

Nintendo Games on Xbox hardware and network will be the killer deal. Seriously it will keep Nintnedo alive for another 20 years, as well microsoft could generate good revenue from the new venture.

Hardware, OS, Online Service: Seattle
Games, Quality Control: Japan

Master Chief on Smash .. that will be do it.
 
As far as I know, SCE lost billions, but they never went into the red, whereas Xbox division was 5 billion in the red in 2011.

Saved this chart on Gaf ages ago.

Have Microsoft ever been in a position where they was losing a ton of money like Sony? If I remember Microsoft never got to a position where the company itself needed to sell off products to keep up and/or reevaluate parts of their business. I remember by looking at the quarterly reports every so often, Microsoft makes billions in revenue and in profit every time and I don't know if the ps3 costed Sony billions but if they did the same argument can be said during those times and possibly now. So it doesn't seem to me they need to sell the brand .
 
That will be best combination. Microsoft need not sell xbox for all cash, can even push for some stock in the nintendo.

Nintendo Games on Xbox hardware and network will be the killer deal. Seriously it will keep Nintnedo alive for another 20 years, as well microsoft could generate good revenue from the new venture.

Hardware, OS, Online Service: Seattle
Games, Quality Control: Japan

Nintendo in charge of ensuring your console has games?

Really?
 

heidern

Junior Member
First to bundle HDD.
First to bundle ethernet port.
First to build a broadband gaming network.
First to bundle a wireless controller.
First to create a digital game download store. (on the original Xbox)
First to create a digital video store.
First to launch Netflix.
First to create meta-game achievements.
First to create cross game communication.
First to make Indie games available to all consoles.
First to use an x86 architecture.
First to integrate voice control.
First to bundle a camera motion sensor.

You're really stretching with your concept of innovation. Almost every item here was done previously. Writable media, downloadable games and DLC were done in the 80s and 90s by Nintendo on the Famicom disk system and the Satellaview. Are you gonna class downloadable magazines on Satellaview as innovation in the console space? Full hard drives were available for the PS2. Networking was done by Sega on the Dreamcast. Nintendo had the Wavebird. Sony the Eyetoy.

Yes they've done some good/great things with the hardware, but most of it was just better implementation of existing ideas due to the fact that networks were finally maturing so they were more viable.
 

TheSeks

Blinded by the luminous glory that is David Bowie's physical manifestation.
Killing Bing would be the smartest thing MS would do. It's been a constant drain for them and I'm surprised it hasn't been taken out back and shot already. It's been needed to be done for years now.

Surface: I can see what they're getting at, but the price point it has is just simply no go. It needs to drop below the iPad to stand a chance. But it'd be competing with Android tablets at that point. I really like the idea behind it, but the pricing for what you get is just crazy when you throw in covers and that snapable keyboard and stuff.

X-box: I can see why investors would want to kill it, but it's probably the one "success" MS has in regards to non-Windows, non-Office, non-Server/consumer-facing hardware. Of course, the X-box 720 fiasco certainly hasn't helped matters in being profitable there anytime soon.
 

Sydle

Member
Killing Bing would be the smartest thing MS would do. It's been a constant drain for them and I'm surprised it hasn't been taken out back and shot already. It's been needed to be done for years now.

Surface: I can see what they're getting at, but the price point it has is just simply no go. It needs to drop below the iPad to stand a chance. But it'd be competing with Android tablets at that point. I really like the idea behind it, but the pricing for what you get is just crazy when you throw in covers and that snapable keyboard and stuff.

X-box: I can see why investors would want to kill it, but it's probably the one "success" MS has in regards to non-Windows, non-Office, non-Server/consumer-facing hardware. Of course, the X-box 720 fiasco certainly hasn't helped matters in being profitable there anytime soon.

Think of it as a consumer research project and then remind yourself the deals they've done with Facebook, Twitter, and Foursquare. They know how you search, how you socialize online, what's important to you, where you go, how often you go there, and more. The advertising implications are enormous if they can actually get ahead on using them in smarter ways that extend into your everyday life. Nadella admitted they have a lot to catch up on.

Now think of wearable devices, like the rumored Fortaleza for Xbox One, or perhaps an earpiece for your phone. If Microsoft knows what you like based on your Facebook profile, where you go based on Foursquare data, what searches are trending among your demographic, what you play, watch, listen to (don't get hung up on the service, they'll come and go with something to replace them) then they know how to target you. Advertisers will go nuts over that.

Fast forward years and years down the road and imagine smart environments that can recognize you, hear you, and respond to you, serving ads to your wearable devices that are relevant to your interests based on where you are currently located, knowing what you're into and your habits. If not you then your demographic from visual profiling. Think about self-driving cars in 20 years (it's going to be so much more efficient) and your windshield essentially being a display device that's showing info about your current location and ads about what's in the area, in addition to your music, game, or movie being served from an Xbox app ;).

Like I said, the cloud, mobile, productivity, entertainment, and services markets are still very, very young. Microsoft has the resources, in cash, product, and talent, to be in your life while you work and play. They just need a visionary that will take more risks on innovative offerings and can lead greater execution, and that wasn't Ballmer.
 
T

thepotatoman

Unconfirmed Member
Killing Bing would be the smartest thing MS would do. It's been a constant drain for them and I'm surprised it hasn't been taken out back and shot already. It's been needed to be done for years now.

Are we talking about Bing as a website, or Bing as a technology?

All technology has been moving further and further into data. The more you suck at data, the more you suck at technology. Everything in the cloud, everything in advertising, everything in services is all data based now. The future of software is about knowing what you need before you even know what you need.

This is why Google can do weird things like Google Glass and people get excited about it. Google is so damn good at data, you can just imagine what type of information they could serve to you with that type of interface. This is also why Apple fell on its face when they decided to do Maps without Google's help.

Bing is about getting Microsoft good at organizing and using data as well. Maybe the Bing website and Bing brand is a flop, but I'm positive the technology that Microsoft developed and continues to develop with Bing is going to be an asset to them for a long time coming in almost everything they do.
 
That list of 'firsts' is stuff that was already around or not relevant/makes no tangible difference to video gaming. Listing irrelevances like that shouldn't be what gaf cares about. I sometimes wonder what people here really care about, because it very rarely seems like original, interesting gameplay is any kind of priority.
 
Selling XBOX was an option and a good idea at one point. Selling XBOX is still a good idea but not an option anymore; way too invested into integration and way too integration to sever off. It's like Microsoft's cancer. They've smoked way too much, and it's spread to way too many organs to operate on.
 

WanderingWind

Mecklemore Is My Favorite Wrapper
That list of 'firsts' is stuff that was already around or not relevant/makes no tangible difference to video gaming. Listing irrelevances like that shouldn't be what gaf cares about. I sometimes wonder what people here really care about, because it very rarely seems like original, interesting gameplay is any kind of priority.

Because a discussion about hardware sales should revolve around original, interesting gameplay.
 
... Surface are just 1:1 copies of Google and the iPad with no added value or innovation in either case.

woah, you're kidding right? Have you used a surface pro? Runs full Windows, wacom pen. Even the basic surface Rt adds touch or type keyboard, kickstand, usb ports, multitasking touch apps, live tiles.

but yeah, adds nothing over an iPad *sigh*
 

WanderingWind

Mecklemore Is My Favorite Wrapper
So you're saying this should be in off-topic? I agree.

It's a discussion about gaming hardware sales. If this does not interest you, you are more than free to leave the thread. Nobody wants to hear you complain about a thread with hundreds of replies.

woah, you're kidding right? Have you used a surface pro? Runs full Windows, wacom pen. Even the basic surface Rt adds touch or type keyboard, kickstand, usb ports, multitasking touch apps, live tiles.

but yeah, adds nothing over an iPad *sigh*

If they ever integrate this thing with XBL more fully, it's going to be very tempting. It's a damn sexy piece of hardware.
 

Hydrargyrus

Member
I don't think MS is going to be so drastic with the Xbox brand.

They are not going to completely erase the Xbox brand from the market, but it wouldn't surprise me if they stop providing as much resources as now. Maybe they will keep on with his 3-4 franchises and some Kinect IPs until the people interest decreases.

And the same with the new console models. Maybe they will go on with the actual model until the end or, at least, they will make only one revision.

But I don't see the xbox brand disappearing from one day to another
 

WanderingWind

Mecklemore Is My Favorite Wrapper
Ms will spend the next year trying to turn things around. If they can't they will probably shutter the division.

Unless the XBONE just fails miserably, I don't see how this move makes one lick of sense. The cost of development, production and marketing of the thing is astronomical. They can't just shut it all down a year or two after launch. Especially since console sales continue strong years after launch.
 
Think of it as a consumer research project and then remind yourself the deals they've done with Facebook, Twitter, and Foursquare. They know how you search, how you socialize online, what's important to you, where you go, how often you go there, and more. The advertising implications are enormous if they can actually get ahead on using them in smarter ways that extend into your everyday life. Nadella admitted they have a lot to catch up on.

Now think of wearable devices, like the rumored Fortaleza for Xbox One, or perhaps an earpiece for your phone. If Microsoft knows what you like based on your Facebook profile, where you go based on Foursquare data, what searches are trending among your demographic, what you play, watch, listen to (don't get hung up on the service, they'll come and go with something to replace them) then they know how to target you. Advertisers will go nuts over that.

Fast forward years and years down the road and imagine smart environments that can recognize you, hear you, and respond to you, serving ads to your wearable devices that are relevant to your interests based on where you are currently located, knowing what you're into and your habits. If not you then your demographic from visual profiling. Think about self-driving cars in 20 years (it's going to be so much more efficient) and your windshield essentially being a display device that's showing info about your current location and ads about what's in the area, in addition to your music, game, or movie being served from an Xbox app ;).

Like I said, the cloud, mobile, productivity, entertainment, and services markets are still very, very young. Microsoft has the resources, in cash, product, and talent, to be in your life while you work and play. They just need a visionary that will take more risks on innovative offerings and can lead greater execution, and that wasn't Ballmer.

The future envisioned in your post is not a future I want any part in. I don't have a FB account, nor do I use four-square. In fact, the only social networking thing I use at all is TrueAchievements, because I have a twitter account but I don't even remember the password for it now.

And self driving cars can kiss off. I imagine a scene like the one in i-robot where the car is telling me it is not advised to take over manual control, but I do it anyway. I love driving. I love cars. I have zero desire for any car that drives itself.

Targeted ads are the devil.
 
It's just such a blip in the grand scope of MS business, it's profitable (unlike Bing) but its not like getting rid of it would be devastating to the company.

ibwZfA3GcGgnbb.png

Looks like they should be worrying about fixing Windows first, to me.
 
May 21st, 2013 says otherwise.

What an extremely short sighted point of view, competition is great for innovation (and no, Nintendo is not direct competition to Sony). Like it has been stated before, there would likely be no PS+ as we know it today without Microsoft and the Xbox pushing of Live and online. If it was just Sony going with online at their own pace and not playing catch-up to a direct competitor, do you think we would be getting free games like we do? Companies going at each other is great for consumers, and that's what matters.
 

Terrell

Member
Its the story that won't go away. Investors are fickle beings.

If investors are fickle, then shouldn't this story have gone away quite a while ago, instead of dragging on for several years as it has so far?

This is quite possibly the most contradictory thing I've read on GAF in quite some time.
 

Keirnoth

Banned
It's just such a blip in the grand scope of MS business, it's profitable (unlike Bing) but its not like getting rid of it would be devastating to the company.

ibwZfA3GcGgnbb.png

The part that confuses me about this chart is that it shows Windows sales falling in 2009.

However, in 2009, Microsoft released Windows 7, which was a huge bright point for them as they had a very good marketing campaign and public beta program that helped spread word about how much It Didn't Suck compared to Vista. But this chart shows that sales were below that of Vista the previous year when I distinctly remember articles saying that the OS sold like hotcakes everywhere.

Also, what happened in 2012? What caused Bing to take such a punch to the gut? Was there some sort of restructuring or playing with numbers/books going on in Microsoft?

Also, it looks like there's a general trend of Windows Vista and 7 sales going up each year after their respective launches. Windows 8 is the only version of Windows in that chart where sales FELL after its first year (lack of) hype. It's at below 2009 Windows 7 levels. I really hope Microsoft thinks whatever their "long run" strategy is is going to help them with their OS platform, because in the short run it looks pretty bad for them.
 
Man, if you believed everything you read then Microsoft, Nintendo and Sony are doomed.

Investors want Microsoft to sell the Xbox division.
Analysts want Nintendo to go to smartphones amid the failure of the WiiU
Sony can barely keep it's head above water while useless divisions drag the company down.
 

Shenzakai

Banned
First of all, killing all of these branches would be the dumbest decision which MS could possibly do!
Did anybody spent just a few minutes with MS last earnings for Q2FY14?

  • Windows OEM revenue declined 3%, reflecting strong 12% growth in Windows OEM Pro revenue, offset by continued softness in the consumer PC market.
  • Surface revenue more than doubled sequentially, from $400 million in the first quarter to $893 million in the second quarter.
  • The company sold 7.4 million Xbox console units into the retail channel, including 3.9 million Xbox One consoles and 3.5 million Xbox 360 consoles.
  • Bing search share grew to 18.2% and search advertising revenue grew 34%

Surface
They're doubled revenue with Surface (even though it still makes loss due to the first generation not selling well), but if they continue this way, they will soon be profitable. Surface 2 was sold out nearly 2 months in my region until I finally got mine a few days ago. Never had a more premium and well designed device in my hands! Windows 8 looks and feels great on this device and Modern UI now makes sense and works like a charm!

I work as a IT System Engineer and Surface is gaining huge momentum not only in terms of my private acquaintances/family/friends, but at work as well. We already ordered two Surface Pro and we are planning to substitute our HP Elitebooks with Surface Pro! Surface has so much potential and everyone I know who had it in his/her hands was blewn away especially if compared to Android or iOS tablets. Even with Surface 2 (/w Pro) you get a full Windows 8.1 OS with USB support, miniSD card slot and a real 16:9 Full HD screen plus the awesome Type Cover 2 keyboards. You have a tablet for consumers AND a real workstation molded into one awesome device. Even a full Office 2013 is included!
Try this with the competitors. Android devices are mostly cheap, slow and bloated (except for Nexus) devices which only can do some of the above mentioned tasks after hacking it. iOS basically is just a bubble for consuming everything Apple just like Kindle for Amazon, but you have none of the abilities which Surfaces offers you!

Bing
I'm using Bing now several months as my main search engine and except for some few cases where it doesn't deliver search results as good as Google I'm really satisfied with it. It has some really nice functions which Google is missing (easier management of settings and search history, better overview of and access to images and videos) plus a really nice start page with useful information and picture everyday! Love it so far and revenues/usage is raising for Bing as well as Surface!

Xbox
Honestly, they've put so much money into this business since the beginning of Xbox. Now it isn't only a gaming console, but a whole media brand for games, music, movies, TV shows (even self-produced ones like the upcoming Halo series) and the upcoming books/magazin/comic reader Xbox Reader. They want to do it as a ecosystem just like Apple, Google and Amazon and they do it very well IMHO. They have a name, a brand and a lot of households are having Microsoft present everywhere through Xbox. If they would resign to do only business with enterprise they would lose all of it fading out of the mind/sight of the majority of people. Don't forget that all these "consumers" go to work probably driving decisions towards or against MS products, so to be present in entertainment might come in handy as well. Last but not least Xbox is selling like a breeze, especially 360. I'm sure One will gain huge momentum as well as soon as the price drops and more games are out, but even today they are selling very well!

Windows Phone
Even though this is not on investors list, I have to say that I'm on WP since Day one and while it lacked a lot of common features at the beginning it evolved into a great competitor as of today and at least in Europe they already have over 10% marketshare. Same goes here in my private and work life. I can see a lot of momentum. GF just bought one without my hasseling (she hates iTunes and Apples restrictive ecosystem), brother and friends bought it and my ex-employer started to settle on to Windows Phone instead of BlackBerry. All of them very happy with WP. Also here I can see huge momentum!

Sorry for the huge text, but I had to write this down and let everyone know that it would be nonsense to scrap these products! Yes, I'm a MS fan, but I'm not blind fanboy. I just think MS deservers a treatment of more respect. Had all kinds of devices from Apple, Amazon, Google, Sony and Nintendo. Tried them all and they are all good in some way, but I don't see Microsoft not getting it's place among them. IMHO quite the opposite is happening, MS is gaining huge momentum with their products right now and it will pay out in the near future!
 

WanderingWind

Mecklemore Is My Favorite Wrapper
I mean, I just looked at their Q2 earning statement. This is the data from that. The XBox made them 4 million in the past quarter. Office made them like, 10 billion.

Gross Margin

Devices and Consumer Licensing $4,978
Devices and Consumer Hardware 411
Devices and Consumer Other 431
Commercial Licensing 10,077
Commercial Other 415
Corporate and Other (77)
Total gross margin $16,235

QfFtkat.png
 

LoveCake

Member
The thing is that nobody would be able to buy the Xbox subsidiary anyway who could afford it & MS/investors would want to get back some of the losses because they are not going to give it away, they also have to much invested in it to just shut it down, if the pulled the Xbox next year all the people who have invested in a X360/Xbone would never buy anything MS again.

All that can be done is for MS to spin off the Xbox hardware division as a stand alone division give it some cash & let it do it's own thing & just support it with the infrastructure with the payments for LIVE to cover the costs, maybe also back up the R&D with all the tech resources MS has & also help with the hardware costs because of the buying power MS has & put the division on a plan to break even by 2020.
 

WanderingWind

Mecklemore Is My Favorite Wrapper
The thing to take away from this is really, the Xbox is profitable. It's making the company millions of dollars. Considering past trends, it's going to continue to make the company money. But compared to the rest of MS's line, the entertainment division is really, really not that significant. 2 percent of the profits is not that great.

Still, it keeps the Microsoft name in a sphere that they may be able to expand into in the future and they have a new product they sunk tons of money, effort and time into. If it was a Bing-esque loss, then maybe cutting it would make sense. But why cut a profit maker, even if the percent of that profit is small?
 
They could spin off XBOX and other consumer products as a subsidiary an partly sell it (maybe even give up majority control). That might appease shareholders (if there really is a critical mass of them wanting to get rid of these divisions) and might actually make them healthier in the long run, out of the politics of Redmond.
 

Nzyme32

Member
Did anyone actually read the article? This title hyperbolic, and just throws the xbox in there for click bait

Even the Xbox deserves to go, Paul Ghaffari, the wealth manager for Microsoft co-founder Paul Allen, said last year

That's all there is in the article, and it's not even from the investor in question, just his wealth manager, an advisor.

This thread and all others like it are just there to roll into WP click bait. The amount of vitriol such a small amount of information has produced in this thread is laughable
 

Maxrunner

Member
Did anyone actually read the article? This title hyperbolic, and just throws the xbox in there for click bait



That's all there is in the article, and it's not even from the investor in question, just his wealth manager, an advisor.

This thread and all others like it are just there to roll into WP click bait. The amount of vitriol such a small amount of information has produced in this thread is laughable

let's hope it still happens...
 

RetroStu

Banned
I always like these 'Microsoft want to killl the Xbox' threads because you see the same posters saying the same stuff and hoping in their little hearts that it will happen even though there is imo 0 chance of it happening, maybe if they had WiiU level or lower numbers but even then i would expect them to push forward with it for a good amount of time.

Sony has lost a lot of money over the years and is in trouble while Nintendo's console is doing awful, there is probably more chance of both of them dropping their console business than Microsoft in the 'real' world but no, let the stealth posters with their fake concern carry on dreaming.
 

enzo_gt

tagged by Blackace
Did anyone actually read the article? This title hyperbolic, and just throws the xbox in there for click bait

That's all there is in the article, and it's not even from the investor in question, just his wealth manager, an advisor.

This thread and all others like it are just there to roll into WP click bait. The amount of vitriol such a small amount of information has produced in this thread is laughable
Well, there is also the bit about throwing out non-essential components of MS (I assume most are seeing Xbox/Entertainment falling under this, though I think they've sunk too much into this for them to drop it; especially considering the X1 is pretty much the apex of their strategy), but yeah I generally agree with this post.
 

Herne

Member
Isn't that enough? they can rebuild later, which is something MS can't even do...
Cant stop thinking of playing goldeneye and perfectdark with wiimote...

What I mean is, they could purchase the IP from Microsoft (I don't think Rare owns anything of GoldenEye but the code, btw) and not have to purchase an expensive but useless game studio along with all it's employees and recently built modern premises. Banjo Kazooie would be a great IP for Nintendo and probably would be the one they'd go for if they went for any at all... which is doubtful.

A new GoldenEye game did come out on the Wii, if you never heard.
 

jcm

Member
Didn't they write off $6.2 billion from the aQuantive (online display advertising) failure that was include in online services/search?

Since March 2006 Online has lost $12.36B, not including the $6.2B aQuantive write off.

Take the one time aQuantive write off out of the 2012 numbers (aQuantive has nothing to do with 2012) and you see a chart that shows Bing is growing steadily towards profitability. There is no justification to divest Bing when we don't have any idea where it's profitability or usage will eventually plateau. Microsoft's strategy with Bing appears to be moving in the right direction for now.

Windows is far more troubling for Microsoft than Bing at the moment.

Here's Online without the aQuantive write off. There is no steady growth towards profitability reflected here, and MS refuses to say when or if it will ever be profitable.

chart-of-the-day-microsoft-online-losses.jpg


Windows is troubling for sure, but Online has burned through an enormous amount of cash, with no end in sight.
 

Melchiah

Member
As far as I know Microsoft has always included additional platforms (e.g., Zune, Surface, Skype, etc.) in the IEB/Devices and Studios division. How did anyone get the figures for just gaming stuff from MS?

Here's how it was gathered.

http://www.neogaf.com/forum/showthread.php?t=466335
The graph is the result of computed data of the 3 companies public declared incomes.

http://www.neogaf.com/forum/showpost.php?p=35972671&postcount=107
I believe Jokeropia took operating income numbers from financial statements, and made a cumulative graph. It's not the same as cash assets though, but might give you an idea of how much each company makes.

http://neogaf.net/forum/showpost.php?p=19625451&postcount=103
xilQTFg.jpg

These numbers are the operating income figures for all companies, rather than the net income.


Have Microsoft ever been in a position where they was losing a ton of money like Sony? If I remember Microsoft never got to a position where the company itself needed to sell off products to keep up and/or reevaluate parts of their business. I remember by looking at the quarterly reports every so often, Microsoft makes billions in revenue and in profit every time and I don't know if the ps3 costed Sony billions but if they did the same argument can be said during those times and possibly now. So it doesn't seem to me they need to sell the brand .

Not as a whole, but their console division has been less profitable than Sony's. I'm not arguing that Microsoft should get rid off Xbox, and I personally don't think they will do that in the foreseeable future, unless the XB1 turns out to be an unsuccesful venture.
 
They should sell the division to Sega...and bring a close to the cycle.

It wouldn't be up to Sega, it'd be up to Sammy. And I seriously doubt they have the money to buy the Xbox division unless is completely underperforms (like, barely beating OG Xbox/Gamecube numbers) this gen.

Granted I don't see XBO doing THAT well, but I don't see it doing THAT badly, either.
 

JaggedSac

Member
I mean, I just looked at their Q2 earning statement. This is the data from that. The XBox made them 4 million in the past quarter. Office made them like, 10 billion.

Gross Margin

Devices and Consumer Licensing $4,978
Devices and Consumer Hardware 411
Devices and Consumer Other 431
Commercial Licensing 10,077
Commercial Other 415
Corporate and Other (77)
Total gross margin $16,235

QfFtkat.png


Where are you getting 4 million from?

But, whatever, you can't use that to determine XBox profits. Especially since it is split into at least two divisions. Devices and Consumer Hardware and Other. Which also contain other products, which makes it nigh impossible to gather anything from it. XBox could be propping up other products or other products could be propping up XBox. XBox profits have been merged with other things for like 4 years now so any cumulative numbers are pretty much hogwash.
 
I always like these 'Microsoft want to killl the Xbox' threads because you see the same posters saying the same stuff and hoping in their little hearts that it will happen even though there is imo 0 chance of it happening, maybe if they had WiiU level or lower numbers but even then i would expect them to push forward with it for a good amount of time.

Sony has lost a lot of money over the years and is in trouble while Nintendo's console is doing awful, there is probably more chance of both of them dropping their console business than Microsoft in the 'real' world but no, let the stealth posters with their fake concern carry on dreaming.
Aren't dreams still based somewhat on reality?

MS has the least to gain staying in the console market, that's reality. ATM Sony has the most to LOSE by leaving the console market, that's reality. And Nintendo outright dies if they leave, so they ain't going anywhere.

It's not about fantasizing one player leaves (I've stated my feelings on this numerous times by now, so I won't repeat it here); just looking at things from a logical perspective.
 

WanderingWind

Mecklemore Is My Favorite Wrapper
Where are you getting 4 million from?

But, whatever, you can't use that to determine XBox profits. Especially since it is split into at least two divisions. Devices and Consumer Hardware and Other. Which also contain other products, which makes it nigh impossible to gather anything from it. XBox could be propping up other products or other products could be propping up XBox. XBox profits have been merged with other things for like 4 years now so any cumulative numbers are pretty much hogwash.

I got it from their own earning statements. And they're quarterly, not cumulative.

EDIT: To be more exact. http://www.microsoft.com/Investor/E...gs/SegmentResults/S2/FY14/Q2/Performance.aspx This link also gives you more detail about where the Xbox falls. It's under one division, D&C Hardware. Other is for Live, etc.

EDIT 2: 400 million. Cause derp.
 
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