Xbox: consoles have never generated profits, admits Microsoft

Xbox: consoles have never generated profits, admits Microsoft

At the moment, Epic Games and Microsoft are pulling each other in court. A legal affront that allows the emergence of many important information: among other things, an internal document of the American manufacturer was disclosed, revealing a detailed opinion on The Last of Us Part. II and the duration of the Xbox exclusive of STALKER 2. This shower of crisp details does not stop there since Lori Wright, Vice President of Gaming, Media & Entertainment at Microsoft, has also just delivered several interesting words to the judge. It should be noted that all this was therefore said under oath, thus guaranteeing a certain veracity.

So, When we asked Lori Wrigh how much profit Microsoft made from the sale of an Xbox console, she replied … “we don’t do it”. More difficult still, when, thereafter, the question of having never generated a single profit on all the Xbox consoles sold since the beginning was asked to her, the Vice-President simply armed herself with a “no”.

In other words, since the first Xbox released in 2001, all of the brand’s machines have been sold at a loss. To tell the truth, this is not very surprising since it is an open secret: selling a console is not profitable, the profits being generated especially with the sale of games, DLC or services such as online subscriptions.

Besides, no need to blame Microsoft since the case would be similar at Sony : the internal document designed by the firm of Bill Gates presumes that the PlayStation, too, suffer from the same economic problem. On the other hand, Nintendo is potentially doing well since the Redmond company admits that the Japanese organization would be the only one to make a profit on its hardware sales… Sacred Big N.

Source

Read also