Xbox Arm of Microsoft Posts Profit
GameDailyBiz is reporting that Microsoft has posted a rare profit for their games business. As you might imagine, the good news is courtesy of high game and console sales thanks to Halo 3. "[Entertainment Division] revenue increased primarily due to increased Xbox 360 console and game sales. Xbox and PC game revenue increased $895 million or 148% as a result of increased Xbox 360 console sales, video game sales led by Halo 3, and Xbox 360 accessory sales. We shipped 1.8 million Xbox 360 consoles in the current quarter as compared to 0.9 million consoles in the first quarter of fiscal year 2007. Halo 3 was launched in September 2007 and generated approximately $330 million of revenue during the quarter."
Now what?
That was MS's one big console seller. Sony has two big ones coming at some point (FF:XIII and MGS:4). Nintendo has a few (Mario Galaxy, Super Smash Brothers: Brawl, Mario Kart, and I'm sure others).
The 360 is a nice console (in fact, I'll probably buy one by the end of the year), but I don't think they sold enough consoles during the Halo 3 rush to be able to stay profitable (though XBox Live, fees on games sold to new customers, etc) in the future (such as next quarter). Unless some hit comes out of no where, what is left that might move consoles for them like this?
I guess I just feel like that was MS's one big chance at taking the lead or any kind of dramatic break from the pack.
Comment forecast: Bits of genius surrounded by a sea of mediocrity.