Microsoft's Revenues Up Except for Games Division 68
Gamasutra reports on Microsoft's announcement that their revenues are up, but the games division has seen a sharp decrease in profitability. From the article: "Microsoft's Home and Entertainment division, which overall includes the Microsoft Xbox video game console system, PC games, the Home Products Division, and TV platform products for the interactive television industry, saw revenue of $1.56 billion in the 3 months to the end of December and a significant loss of $293 million, compared to $1.37 billion revenues and a small profit of $55 million in the same period last year."
Misleading headline (Score:5, Informative)
FTA: Microsoft's Home and Entertainment division, which overall includes the Microsoft Xbox video game console system, PC games, the Home Products Division, and TV platform products for the interactive television industry, saw revenue of $1.56 billion in the 3 months to the end of December and a significant loss of $293 million, compared to $1.37 billion revenues and a small profit of $55 million in the same period last year.
Grrr, the headline made it sound like revenue for the game division was down, but it was up, too. Please keep the headlines accurate for those of us who don't want to read the synopsis, let alone the actual article!
In other words.. (Score:4, Informative)
Re:In other words.. (Score:3, Informative)
You must be using the new math. Revenue has increased by about $190M, while profit is down around $230M. You can't subtract these numbers. Indeed, if you add them, you see that their expenses increased by $420M.
Re:Misleading headline (Score:4, Informative)
Actually, the headline is inaccurate. The games division revenue IS up. And the amount of money 'lost' is irrelevant to revenue.
REAL journalists make these mistakes regularly - Slashdot makes these mistakes contantly as it is run by individuals who are ignorant of all matters not related to hentia and linux.
Re:In other words.. (Score:3, Informative)
I expect that a lot of that is the cost of launching a new console unsuccessfully.
The demand for the 360 seems tiny compared to the demand for the original xbox not to mention all the wasted money on the hype microsoft built up for the 360 which was completely destroyed by the fact that there wasn't enough of them to supply what little demand they did have.
The dreamcast had a more successful launch than the 360. I have a pretty good feeling that the 360 is going to be the Sega Saturn of this generation of consoles (which as a whole I also think will fizzle compared to the last. My money's on the Nintendo Revolution for being the most likely to succeed this time around unless Microsoft scrapes Halo 3 together quickly (the brand loyalty gamers have to halo is astonishing. halo 3 could be complete crap, and it would sell millions of copies in the first week)
Home & Entertainment Division (Score:3, Informative)
Hurry, before the price goes down (Score:3, Informative)
If you watch the XBox 360 core system auctions on eBay, anything priced over $350 just does not sell. The auctions with high reserves just scroll off, unsold. You can usually get $300, and you might be able to get $325. Above that, forget it. If you've got a garage full of the things, it's time to take what you can get.
Re:In other words.. (Score:1, Informative)
http://news.com.com/2100-1040-250632.html [com.com]
"One of the basic premises of the Xbox is to put the power in the hands of the artist," Blackley said, which is why Xbox developers "are achieving a level of visual detail you really get in 'Toy Story.'"
http://www.wired.com/news/technology/0,1282,40970
"Gates said the 3-D chips in the Xbox would be three times faster than anything on the market and offer nearly unlimited graphical visuals. "We're approaching the level of detail seen in Toy Story 2," he said, referring to the computer-generated kids film from Disney/Pixar."
Sony has never in any public statement claimed anything having to do with "Toy Story" level graphics.
Microsoft has. Multiple times.
Time to shutup idiot.