all companies lose money on the hardware... all the profit is in the games... monster year in terms of all the good games coming out. very very few are PS3 exclusive so microsoft has an advantage on the market. vista also came out this year so they got nothing to worry about... unless the majority user discovers past the eye candy vista really isn't a big upgrade.
Not all companies lose money nearly every quarter for 7-8 years (resulting in over $6+ billion in losses during that time). The profits Microsoft has been making on games (even with insane Halo sales) have not kept them from losing a substantial amount of money during that time span. That's what the problem is, not that Microsoft is taking a loss on the hardware. It doesn't help that they haven't really been able to have that much success in sales either. Vista's success has little to do with how Microsoft treats the Xbox business IMO (it isn't like the Xbox business is going to bankrupt MS...not even sure there is a business model that could do that). Also, the exclusive count for both systems are probably about even this year BTW. Maybe in favor of the PS3 actually, although I haven't really checked any lists nor should I really bother given how little information there is on some games. Mostly just 1st party vs 1st party given how nearly every 3rd party studio is releasing games for both.
MS should really drop their prices if they want to capitalize on the ps3 slow start fading excitement....plus i want to get one later this summer. come on xbox, drop that price.
Owned? See video at link: http://www.joystiq.com/2008/02/19/rrogdc-xbox-360-failure-shows-up-at-trade-show/ RRoGDC? Xbox 360 failure shows up at trade show Microsoft's efforts to divert attention from the Xbox 360's reportedly high failure rates were were certainly not helped today by an infamous Red Ring of Death that showed up at the Game Developers Conference in San Francisco. An intrepid BBC reporter noted the common hardware failure on display at Microsoft's XNA area in the Moscone Center's North Hall. Perhaps this is why the whole XNA area was protected by a shroud as recently as yesterday. Then again, perhaps not. Regardless, the BBC is certainly correct in noting that "at the very least it's embarrassing for the company that its own stock of demo machines are still susceptible to the problem." C
