View Full Version : Did the XBox come out in the black?
boatofcar
02-10-2006, 11:34 PM
So all throughout the XBox's life, I've read articles that say that M$ loses x amount of dollars for every console sold. Were they ever able to get production up enough to where they were making money on the consoles themselves, or was all their profit from game sales and Live only?
PapaStu
02-11-2006, 12:34 AM
From what i've read around the internet, the Xbox never turned a dime. If I remember correctly Gates said he wasnt out to make money on the thing, just get it in the publics mind and homes.
I think it was a huge sinkhole, but this sinkhole got them good market share, a well recognized name and an excelent followup system.
ProgrammingAce
02-11-2006, 12:42 AM
Microsoft never came close to breaking even. They're still loosing about $40-50 per system, and have lost so much on the consoles that they never came close to making it back with the software...
Then again, the xbox divison was only originally setup to be a tax shelter. They threw out enough money on the xbox so that they could write off their taxes...
hezeuschrist
02-11-2006, 12:51 AM
The Xbox division of Microsoft has lost 7 billion dollars last I heard. I'd assume that goes up to whatever last financial statement they've released.
The Xbox division of Microsoft has lost 7 billion dollars last I heard. I'd assume that goes up to whatever last financial statement they've released.
it's a big investment for them to be sure, but they've done what sega's been trying for years, to outsell nintendo, and they did it on their first try, gotta give them credit for that.
Joker T
02-11-2006, 09:21 AM
Miicrosoft says that the XBOX was an experiment and they had little inttentions of making money but to "establish" themselves in the game industry.
DarkStraw
02-12-2006, 01:31 AM
The Xbox division of Microsoft has lost 7 billion dollars last I heard. I'd assume that goes up to whatever last financial statement they've released.
it's a big investment for them to be sure, but they've done what sega's been trying for years, to outsell nintendo, and they did it on their first try, gotta give them credit for that.
Anyone can "outsell" nintendo if they have a near unlimited supply of money, why should they get credit for that?
And as far as im concerned, Nintendo the company sold more than microsoft worldwide. heck if you count handhelds im sure they "outsold" microsoft in the us.
Miicrosoft says that the XBOX was an experiment and they had little inttentions of making money but to "establish" themselves in the game industry.
if i lost that much money on a console i would say that too :)
josekortez
02-12-2006, 01:49 PM
Off-topic, kick-ass avatar, Boatofcar. I live in Hampton Roads and I watch too much public television.
sega-trader
02-13-2006, 06:40 PM
Over the last couple years they have lost about a billion a year on xbox.
googlefest1
02-14-2006, 08:23 AM
The Xbox division of Microsoft has lost 7 billion dollars last I heard. I'd assume that goes up to whatever last financial statement they've released.
it's a big investment for them to be sure, but they've done what sega's been trying for years, to outsell nintendo, and they did it on their first try, gotta give them credit for that.
Anyone can "outsell" nintendo if they have a near unlimited supply of money, why should they get credit for that?
And as far as im concerned, Nintendo the company sold more than microsoft worldwide. heck if you count handhelds im sure they "outsold" microsoft in the us.
Miicrosoft says that the XBOX was an experiment and they had little inttentions of making money but to "establish" themselves in the game industry.
if i lost that much money on a console i would say that too :)
but didn't they say that before the xbox hit the street - before they lost billions
unlimited money? -- they werent going to drop thier whole bank account on this product - they did a good job of getting the word out (which did cost a pretty penny - but it was well spent )
and if you counted handhelds then im sure nintendo out sold MS - but a pocket device is diferent than a major component in a families entertainment center. i think the perception is diferent.
i actualy don't feel either company out perfomed the other this time around - but i do feel MS accomplished alot as the rookie new comer
Microsoft has "been a little distracted over the past few years" and is turning their attention back to PC gaming. Apparently, "the future is about PC games" is their new motto.
Xbox what?