Ike★ 2,906 Posted May 5, 2021 Share Posted May 5, 2021 Xbox vice president Lori Wright has been called to testify in the Epic vs. Apple court case as a third-party witness and give insight into the gaming market as a console partner. Her testimony has shed light on some of Xbox's internal workings including how Xbox has never made a profit off of hardware through any of the Xbox iterations. https://www.ign.com/articles/xbox-has-never-turned-a-profit-on-any-of-its-devices No wonder they want Gamepass everywhere on everything. Quote Link to post Share on other sites
-GD-X★ 7,729 Posted May 5, 2021 Share Posted May 5, 2021 aren't most of the profits made from games? i forget. Quote Link to post Share on other sites
Ike★ 2,906 Posted May 5, 2021 Author Share Posted May 5, 2021 2 minutes ago, -GD-X said: aren't most of the profits made from games? i forget. Usually in the first coupe of year yes that’s the case but by year 3 the hardware should be making you a profit as well. To have a business where you lose money the entire time your company has been doing business for 20 years, isn’t too great. 1 Quote Link to post Share on other sites
-GD-X★ 7,729 Posted May 5, 2021 Share Posted May 5, 2021 Just now, Ike said: Usually in the first coupe of year yes that’s the case but by year 3 the hardware should be making you a profit as well. To have a business where you lose money the entire time your company has been doing business for 20 years, isn’t too great. o snap! well, gamepass is definitely the smart move then. Quote Link to post Share on other sites
Goukosan 2,249 Posted May 5, 2021 Share Posted May 5, 2021 (edited) This is exactly the reason why they had to pivot away from the traditional model. They weren't selling enough hardware or software to actually turn a profit on Xbox.... Microsoft CEO was about to shut down the Xbox division and Phil sold him on Gamepass and having their games everywhere on other systems. At the end of it all their "platform" will be a service as they slowly move away from Xbox has a hardware. This ties directly to that email where Phil is telling epic they're still trying to get gamepass on other consoles. Edited May 5, 2021 by Goukosan 2 Quote Link to post Share on other sites
jehurey 3,227 Posted May 5, 2021 Share Posted May 5, 2021 1 hour ago, Goukosan said: This ties directly to that email where Phil is telling epic they're still trying to get gamepass on other consoles. And this is something I predicted quite a while ago. Because if Microsoft turns into third party SERVICE............the growth of that service is dependant on Sony and Nintendo allowing them access to their userbase. Sony and Nintendo become gatekeepers. And there was a chance that Sony and Nintendo would see it as an opportunity to starve Microsoft into submission. Judging by that email, they have ALREADY told Phil Spencer "No." So, we've already reached a pivotal point in this Microsoft experiment. Quote Link to post Share on other sites
DynamiteCop 2,085 Posted May 5, 2021 Share Posted May 5, 2021 They're making billions and billions and billions of dollars on software and services but oh no the hardware hasn't generated any money... The hardware is a gateway you morons. Quote Link to post Share on other sites
jehurey 3,227 Posted May 5, 2021 Share Posted May 5, 2021 7 minutes ago, DynamiteCop said: They're making billions and billions and billions of dollars on software and services but oh no the hardware hasn't generated any money... The hardware is a gateway you morons. what software? they're clearly not selling anything at full price. services cost money. what profit are they making? It isn't in the billions. 1 Quote Link to post Share on other sites
Quad Damage 1,717 Posted May 5, 2021 Share Posted May 5, 2021 they only give out revenue and not profit for a reason 3 Quote Link to post Share on other sites
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