Originally Posted by DigitrevX
like I said you nor I know how much each console cost them to make so please to do not asume or believe everything you hear or read on the web.
So please point out absolute evidence that microsoft is taking a hit..
btw: its alot more complex then multiplying 70 to a million and stating thats their source of income. The company is a giant and diffrent departments support one another. Xbox is not its own entity and supports itself
You have a valid point, we have NO absolute proof in regard to the console units being sold at a loss. Like you said, unless we actually work in the plant ourselves, we would probably never know.
What I wanted to know is, are you a console gamer? A hardcore console gamer? The reason why I'm asking this is because there have been tons of articles from gaming & business magazines that discussed the strategies behind the electronic entertainment industry, namely the console market. Profits for console manufacturers are never gained in the short-run,always in the long-run,and a big chunk of the profit comes from the games. You're probably right that the price probably cover the basic cost of the console (who knows?), but other than the basic manufacturing costs, there are still the R&D cost, the marketing cost, etc. And my guess is those are the costs that were not calculated into the console selling-price.
But then again the publishing companies might all in the same fold and this is all a big conspiracy to cheat us users from our money
There are indications that what we're saying it's true tho.. EQ:
One of the largest software raid in Asia was initiated by MS,and specifically targetted the XBOX pirated-games. A multi-national raid cost big bucks,and if MS is already gaining huge profits from the console sales, why bother? W/ the availability of pirated games,the console sales would surely soar. It would've made more sense if the raid was organized by game developer unions.
All console manufacturers require the game developers to pay license to release a game on their consoles. Nintendo had a big case about this years back,and that was the main reason why there aren't many 3rd-party games on Nintendo. Again, this "paying tribute to the console maker" move can be seen a little harsh to the developers,but it is a necessary move, presumably to help the manufacturers "break-even" with the loses. Whilst it's true that this might be simply a case of a console manufacturer being greedy, consider the opposite, with the high-competition between consoles, if I was one the CEO of one of the console companies, my strategy would be to forego the licensing and devastate the competitions. Since I'm already racking big money from the console sales, I could afford the revenue lost from licensing in exchange for market dominance... a diveAddict console in EVERY HOUSE
That's just what I think, in reality it might be a conspiracy
But then again, of all the things in this world, what do we know with absolute certainty? *You think that's air you're breathing?*
As for the hardware issue, I wouldn't say it "optimized" exclusively in a software perspective. We're talking about streamlining each component to gaming performance here
Probably won't make thousands of dollars difference, but it should be big enough. Considering building a rig for a server, and as a dummy terminal. The price difference would so big, that we could afford installing hundreds of dummy terminals,simply by removing all the un-needed components from each terminal. The server could cost well over thousands of dollars, whereas an individual dummy terminal could cost just a few hundred bucks or less. Well, not quite the same case w/ console vs PC, but same analogy.
If we really want to know for sure, then we'll just have to look for a "deepthroat" from one of the console manufacturing plants
and now I really need to get back to work