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Xbox Division Slips Back into Loss
Despite general news that Microsoft's revenues were up last quarter, the Xbox division slipped back into the red with a $164 million operating loss. From the article: "The operating loss in the division also dropped year on year, falling to $164 million from $204 million, which could be seen as very positive - but can equally be interpreted in light of the fact that the previous quarter, ended on December 31st, saw the division post its first quarterly profit since the launch of Xbox."
It could be people holding out for the next generation of consoles, but it could be more than that, too. Microsoft probably entered into the game console market as a hedge against their Windows and Office business evaporating. Unfortunately, the Microsoft brand carries very little weight in the gaming industry (other than as an OS platform), which means they are now fighting for scraps with Sony and Nintendo, who _own_ the gaming industry.
My prediction is that Microsoft will start shedding assets in the coming years to bolster their bottom line, but eventually they will just have to accept a more modest stance in the world. Ballmer will probably cash out, because only someone else could stomach not being #1 during the transition to a compeititive company again.
Then get the fuck over it already.
Seriously, I'm plenty critical of MS, but this continues to be stupid.
Nothing you have to say has anything relevance to the topic of this article. Your resume is no interest to anyone.
Xbox freaks spent the last three months spouting off about how "the xbox had turned the corner" or "the xbox was now profitable.'
This article shows what complete bullshit that is. End of story.