Xbox 360 Turns Profit Through Q2
Jan 26th, 2008 by admin
Submitted by Video Game Jocks
Robbie Bach said that the Xbox 360 would be profitable in 2008 and, halfway through the companies fiscal year, the Entertainment and Devices Division, which is home of the Xbox 360 and the division which Bach is the President of, is reporting operating income of $524 million, compared to a $423 million loss during the same period the previous year.
The increase of Xbox 360 hardware sales, 6.1 million in the first half of the fiscal year, up from 5.4 million the same period last year, and overall success of the Xbox 360 brand has to be attributed heavily to the runaway success of Halo 3. Seeing the Xbox 360 and the Entertainment and Devices Division, which is also home to the Zune and Games for Windows, continue that success without Master Chief’s shot in the arm will be a true testament to how well the Xbox 360 does in terms of bottom line.
While this is truly an achievement, seeing as how the Xbox 360 and it’s predecessor weren’t exactly known for making money, it must be pointed out that if a post must be written to point out that you actually made money, which is what products and companies are supposed to do, then you weren’t exactly lighting the world on fire. To be fare, it is customary that console makers tend to lose money at the beginning of a consoles life cycle and make most the money in the middle and end of the life cycle when production costs come down and software sales, which the Xbox 360 leads all hardware in, goes up.
So, can the Xbox 360 maintain this momentum in the second half of their fiscal year, with a multiplatform GTA IV and the possibility of Gears of War 2, or as Halo 3’s sales fade so too will the Xbox 360’s profits?
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I bought a 360 about a year ago and took it back the next day for a full refund.
The machine was so LOUD I could not stand it, during game play it drowned out my very ample home theater, it was so loud my wife made me move it to the bedroom and shut the door.
After a few hours game play i felt like I had been digging roads with a jack hammer for a day without ear muffs on, the 360 as a games console maybe second to none, but it’s quality is nothing short of disgraceful.
MS can have my money when the products quality is acceptable, until then I will wait.