anothertech
Member
That quite simply is just not true.
Also 29% decline in hardware sales after the S release is really too bad. But I don't se the Xbonx at $500 being the saving grace for hardware sales in The forseesble future.
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Microsoft gaming revenue increased three percent year-on-year to hit $1.6bn for FY17
- Thread starter jdmonmou
- Start date
Also 29% decline in hardware sales after the S release is really too bad. But I don't se the Xbonx at $500 being the saving grace for hardware sales in The forseesble future.
TheThreadsThatBindUs
Member
Wow the amount of MS defence force and persecution complex in this thread is shocking... Really?!?!... Matt gets literally dogpiled for merely stating something he's clearly qualified to to be able to state. Also, Xbox 1 X has a bigger market than XB1S?!?!?!??
HAHAHAHAHAHAHAHAHAHAHA..... That's gotta a be the low point of this thread.
In other news, MS' MAU numbers and gaming revenue growth isn't increasing in line with xbox console sale numbers (I would expect a super-linear increase actually, since they also should be growing their PC platform and Minecraft numbers on all platforms).
Doesn't look to hot. It's not bad, but it's not a great picture of the state of things at Xbox.
HAHAHAHAHAHAHAHAHAHAHA..... That's gotta a be the low point of this thread.
In other news, MS' MAU numbers and gaming revenue growth isn't increasing in line with xbox console sale numbers (I would expect a super-linear increase actually, since they also should be growing their PC platform and Minecraft numbers on all platforms).
Doesn't look to hot. It's not bad, but it's not a great picture of the state of things at Xbox.
Surely you're not blind to the pathetic comments on the other side of the fence, also?
Key difference is there's no user with respected views on the industry is getting harassed on that side.
Classic.
Sony's numbers are nothing like Microsoft, which by their own MAU standards is worrisome. It's like saying I'm glad both Nvidia & AMD are making good money while their numbers are nothing alike.
Bits N Pieces
Member
See I have an issue with this. Getting harassed, really? Do you mind showing me the posts in this thread where Matt is getting harassed? For my posts in here I was looking to get clarification on what he meant as he himself said he was stating facts, not opinions. Surely on a discussion board you're allowed to question peoples posts and comments.
Or does this suit the narrative you are trying to push of users being harassed by the big bad fans of Xbox?
I would have thought most people who have been here for a while wouldn't hang on every word an 'insider' says as gospel, unless it suits the agenda you are trying to portray of course.
Bitch Pudding
Member
I don't think so, as the additional price bump is offset by a significant higher power bump (compared to PS4=>PS4Pro). Plus XBOX has a decent share of high value / cost insensitive buyers, as the Elite controller's sales shows.
My guess is that XOX will have a strong start this fall, but on the long run its total share on XBOX sales will be around the same as PS4 Pro, 1/3 being best case scenario. But as others already pointed out, it's just too expensive to become #1 XBOX SKU, unless MS significantly reduces the price gap.
Shpeshal Nick
aka Collingwood
They'd be generating a ridiculous amount of revenue if the install base was even remotely close to Sony's.
Xbox users have just always spent a lot of money.
Xbox users have just always spent a lot of money.
That's... I think that's one of the worst comparisons I've ever seen on GAF.
Your post is super childish. Doesn't look great on you bringing up people in this thread when you're response reads worse than everyone else's.
With financials on here its either you're the king and are doing fantastic or you're in the shitter. Truth is, this is a good quarterly report. Shows in the stock price as well.
There's decent business growth. Considering their business model revolves around monetization of the store and revenue has increased by 11% in a quarter, that's good.
No stock holder will turn their nose up at that and at the whole of their divisions, that's why the price has barely shifted.
Goalus
Member
To sum it up:
You would like to see Microsoft posting bad numbers for their gaming division. They aren't, actually their numbers are quite solid considering the declining hardware sales, which clashes with what you were hoping for. Now that your week-end is ruined, you can rejoice to have found at least one fly in the ointment. Congratulations!
However, I have bad news for you: lumping everything together is an integral part of Microsoft's present and future Xbox strategy. Xbox is becoming a service, and it doesn't matter whether the money is made on the console itself or on the PC - or devices like Hololens in the future. It is therefore only logical to present the numbers in the way MS does, whether that pleases you or not.
Maximilian Kolbe
Member
Is the numbers matter?
MS already developing next Xbox console(the one after One X), so hate it or like it, Xbox will still here for long time lol.
MS already developing next Xbox console(the one after One X), so hate it or like it, Xbox will still here for long time lol.
wapplew
Member
Thanks to Spencer's hardware and service first strategy for Xbox.
With the commitment to BC, play anywhere, users just feel more save and get more value when spent money on MS ecosystem compare to others platform.
It's a brilliant move to lure and secure high spending power and loyal users into their ecosystem. At the end of the days, doesn't matter hardware numbers, market share or MAU, it's all comes down to revenue and profit.
But they aren't selling more hardware. Looks like they aren't luring new people in, more like keeping hold of some of the existing userbase
And the lack of investment in new titles is worrying. Yes - they seem to be monetising current games well but it all seems very inward looking. Without a path for growth you're just feeding off a fixed, small user base and that has its limits
Bitch Pudding
Member
Sure, why not, but "profit per User" isn't actually what matters, it's just (overall) profit. And even if you deem XB live far more attractive, PS+ has easily twice as much subs, which gives Sony a tremendous advantage for their next generation if they play their cards right.
wapplew
Member
Of course they are luring new people in. Hardware down YoY doesn't mean they sell negative new Xbox.
New users still coming in and with better hardware and service those new users likely turn into loyal high spending users.
Which means they don't need as much new users to make same or more revenue than other platforms.
Lack of investment in new titles doesn't effect their revenue one bit, on contrary, revenue goes up.
Investment in games doesn't guarantee more revenue luring more new users, investment on hardware and service to make their ecosystem best place to play the most popular games are saver bet.
Maintenance
Member
Bitch Pudding
Member
Where to start...
"New people" is referring to "new to the platform". As in 1st time console owners + churners from other platforms. We are well aware that not everyone purchasing an XBOX right now already owns one..
Those late adopters who are currently buying PS4s and XBOX Ones are - by definiton - neither highly loyal nor high spending users, and probably never will be, hence your idea of those mitigating the effect of lower hardware sales ist just wrong.
Regarding the last part of your post where you state that basically games don't matter, hardware does, let me just quote some random guy here: "Those who understand strategy are sitting in awe of wapplew the Master right now."
darkinstinct
...lacks reading comprehension.
I hope Microsoft looks at Nintendo and sees that with great first party games you can still easily sell consoles. And then take a billion and build those games.
Seems like we've entered crazy town in here.
Chobel
Member
Oh you're good, really good.
KratosEnergyDrink
Member
And next gen they might be on top again and Sony on a distant third... the wonderful world of consoles.
Getting asked to further clarify his statements is getting harrassed now?
For all the comments saying "Xbox fans don't like what Matt is saying", there sure is a lot that seem to like what he's saying a bit too much for some reason
lol I think he's mistaking profit with revenue
This is me getting trolled.
They weren't on top last gen, Nintendo wii was the best selling console and the 360 was on tie with ps3 more ore less and with one year more on the market.
Maybe MS can sell 400 million home consoles with 6 or 7 gen with this ratio, sony has done this in 4 gen with the current far from the end.
Lol 😂😂😂
Ha good old GAF revision history + NPD = The world.
ethomaz
Banned
Wut?
InsaneTiger
Member
Right there with you.
Between this:
And this:
We're officially in crazy land.
Opinions are opinions and all but some are just so far from reality that they reduce the overall value of the discussion.
And this:
We're officially in crazy land.
Opinions are opinions and all but some are just so far from reality that they reduce the overall value of the discussion.
TheThreadsThatBindUs
Member
That's extremely rich and objectively false. There have been folks here dogpiling Matt for merely stating "it's not safe to assume MS have increased their investment in software" and you're trying to say my post is the worst in this thread... I'm sorry but... no.
Of all the things to get your jimmies rustled by, "MS is not increasing their investment in software", is the most tame and benign thing I have read on this forum today, and yet some people in here seemed to really take offense at that. It's ridiculous and reeks of a persecution complex. I'm sorry if you think it's childish to point that out, but it's the truth.
Perhaps, you might want to reconsider your own position if you think simply pointing out such irrational behaviour is the problem and not the irrational behavior itself?
Oh, and where in my post did I make any mention of MS being in the shitter? The reality is, their gaming financials are not great, but I certainly didn't say they were in the shitter (not yet anyway). So who were you even responding to on that point, as it couldn't have been me.
Banjo-Kazooie
Member
Think they probably meant profit, not revenue. Which probably makes sense with he way some of their exclusives have sold compared to costs (sup Quantum Break)
Edit: actually never mind they said revenue twice haha
The best part of that statement is that you don't even need to be an insider to make it. It's pretty obvious.
And if things change you still can be correct as that is the obvious case now, and it's easy to have a cop-out if you still want to look like an insider.
That's not to say Matt isn't an insider, he could be, I have no idea. But the statement he made to start the shitshow was not some big revealing statement. Just an Captain obvious statement with how MS has conducted themselves the last couple of years. No need for him to get attacked by it.
That said there have been some pretty childish statements from MS detractors in this thread as well
Banjo-Kazooie
Member
If MS gaming financials are "not great" than every other publisher should consider leaving the industry also. MS makes 9bil annually, 2nd behind Sony. Yep, that means Nintendo, EA, Activision, Take Two, and pretty much everyone else should be considered to be having a "not great" year because they can't even make more than MS, which is "not great". And don't hit me with the profitability line, because Nadella says they are profitable too.
KawabataSan
Member
More than 1/3rd of that is because Microsoft has a $300 gaming box.
All the other companies don't sell $300 hardware.
There is zero profit in hardware tho. Plus, I'm sure it's a blessing when software makers don't have to worry about R&D and whatever costs associated with hardware on a box.
Banjo-Kazooie
Member
Okay? You're not disproving my point. If 9bil revenue and a profitable business is considered having "not great" financials then I don't know if we will ever agree on anything lol. It doesn't matter how they get the money, it's the fact that they ARE the 2nd "best" earner in the field, and yet still get posts like the user I quoted.
Then we need to take that out of Sony's revenue as well for comparisons sake. And since they are outselling MS by a good margin with 20% being a $400 dollar box, make sure to account for that.
You might want to do the math. It's kinda fun when you do
To be fair, Matt also seems to think he has a brigade that follows him around to "harass" him. Even though the thread was already going when he posted his thoughts and the people questioning him were already here before him
In their most recent financial release, EA posted a 566 million dollar "net income" (one quarter) .
In their most recent financial release, Nintendo posted 262 million dollar "operating profit" / 933 million dollar "comprehensive income" (full fiscal year).
Find and read the Take Two and Activision statements yourself if you will.
Microsoft hasn't posted income for their "Gaming and misc other stuff" division in years.
Explain to me right now how you compared any of these companies' perfomances to Microsoft's gaming venture before you posted.
Quantify.
Yeah as an investor this is the biggest flag to me. Why just report revenue and not any profitability measures?
The only thing is this doesn't hit a blip to most as it's only a small sector of the overall company but I feel eventually these are issues that will need to be addressed.
EDIT: just want to add-even if the division is currently profitable, Im suspecting it's a low enough amount that many will question if there is an opportunity cost and that's why we aren't seeing these numbers but those in the company still feel there is enough room for growth.
Dunno just speculating
Senju, come on man..
Now this I agree with. The way I see it, it will appeal to Xbox owners first, then potential PC and PS4 owners after (in that order) and perhaps those that haven't even purchased thsi generation. Being optimistic, accounting for 30% of their sales especially at this price point, which is a good deal for the performance it is bringing.
momshotdad
Member
That's what happens when you announce 2 consoles at the same press conference.
Goalus
Member
PSVR hardware sales also need to be subtracted from Sony's revenue numbers in this case.
I don't believe that contributes to the MAU number. I may be wrong, but I think that number refers to gold/silver Xbox one/360 logins and W10 logins.
Pretty sure you are right or else it would be huge with minecraft on phones.
I think MAU are just Win 10 and Xbox. I think?