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Microsoft Loses $126 Per Unit on XBox 360

ahess247 writes "BusinessWeek has taken a look at the insides of the XBox 360 and with the a little help from market researcher iSuppli determined that Microsoft is continuing its tradition to taking a big loss on the console in hopes of making a profit on games. From the article: "An up-close look at the components and other materials used in the high-end version of the Xbox 360, which contains a hard drive, found that the materials inside the unit cost Microsoft $470 before assembly. The console sells at retail for $399, meaning a loss of $71 per unit -- and that is just the start. Other items packaged with the console -- including the power supply, cables, and controllers -- add another $55 to Microsoft's cost, pushing the loss per unit to $126."

3 of 725 comments (clear)

  1. Re:Selling The Hook by DrSkwid · · Score: -1, Offtopic

    OT But ....

    Once you've smoked a bit of weed and not gone psycho then suddenly you realize that the "all drugs are evil" line that school/govt/parents tried to tell you is lies. Then you can't trust *anything* they said. And then you'll try anything.

    --
    There are places where the networks are not touching,and there are places where they are-Boeing's Lori Gunter
  2. Re:Selling The Hook by vdub12 · · Score: -1, Offtopic

    I would love to see mod chips for these. Its the only way I would buy one. For that matter its the only reason I bought the first X-Box.

  3. sony-drm, ms-evil; what do you buy?? by towsonu2003 · · Score: 0, Offtopic
    sony has DRM so u don't buy Playstation; MS is evil (yes it is) so you don't buy xbox (plus it may kill you after exploding).

    what do you buy then?