Nintendo--VS--Microsoft

[Rndm_Perfection]

And the long awaited question... Does it matter?

[cube]

I think that Microsoft should stop making systems with so much power that will never be used, also stop including hard drives, and stop including the modems. yes i know i sound crazy, they are nice things to have, but they cost a lot of money, the average buyer doesnt know how much more powerfull xbox is then ps2, a mom at best buy looking to buy her kid a console wont know the difference. They would definitly be much much more successfull if they put the money into getting some exclusive AAA titles for their console, along with putting more ads out on tv. You might think they have enough ads as is but its better to spend that 100 dollars they are using to buy that fancy hard drive and modem on something that people will remember when shopping. Growth is exponential, if you start out with a **** load of people talking about xbox, the **** load of people who heard from their freinds will tell others. This is what i think happened with the ps2.

[gekko]

Originally Posted by TheGame

I think "money" matters more than "profits"... the more 'money' you are willing to blow to stop your system from floping directly effects how long you are going to stay on the shelf... more so than profits.

DC made more profits than Xbox, but that doesn't mean Sega had a chance in hell at staying on the shelves longer, does it?

Actually, Sega didn't make any profit off of DC. But back to the main topic, you're on the wrong track, again. If you're talking which system will be successful, userbase matters. If you're talking in 20 years who might have the best system, userbase matters. We're not talking about which system will dominate the industry, we're talking about which company would completely go out of business. Right now Nintendo is doing very well, PS2 is doing very well, and Xbox is doing very poorly. Nintendo and Sony are no concearn at all. Which only leaves one company at risk for dropping out, and that's Microsoft. Big risk? No, but Nintendo and Sony wouldn't benefit from leaving the industry. If that was the case, Microsoft might as well drop Windows.

Microsoft made $8 billion in profits last year. This year, Microsoft's Home & Entertainment division is on track to lose $1 billion. If you think either Microsoft or its investors are happy with those numbers, you're crazy. Microsoft didn't plan to profit from Xbox, but you can be assured they didn't expect their losses to increase over time, and they have.

Now when you get back to who is most likely to drop out, you have three choices:

1) Sony - Would make less money
2) Nintendo - Would make less money
3) Microsoft - Would increase profits by 10%

I think it's obvious.

[PuPPeT]

Originally Posted by gekko

Microsoft made $8 billion in profits last year. This year, Microsoft's Home & Entertainment division is on track to lose $1 billion. If you think either Microsoft or its investors are happy with those numbers, you're crazy. Microsoft didn't plan to profit from Xbox, but you can be assured they didn't expect their losses to increase over time, and they have.

I don't think any one who has Microsoft share will be unhappy at the mo as they could be on the end of the biggest share holder pay out of all time!!!! Also the Home & Entertainment division of Microsoft was around and losing money well before the Xbox was on the Scene yet it was aloud to do so for over 5 years with out compliant from share holders! How in the light of getting the biggest pay out of all time on top of ever increasing shares really don't care and will let Microsoft moving into what ever areas they want with or with out lose. At the end of the day share holders like my self are only after one thing and that’s money, if the Xbox was stopping them from getting money it would be a problem but its not so get off the subject!!!!

Oh and as for “ we’re not talking about which system will dominate the industry ”! Well you might not be talking that way cuss it makes Nintendo look so bad but the rest of us are (so get over it)!!!!! Also it a bit stupid not to talk that way the company which sales the most console in the end will make the most money back off software sales. I can pretty much guaranty with the next generation of consoles coming so fast Nintendo will not have the time to make its hardware so cheep next time round and if it does not included some of the added in extras you get with the next Sony and Microsoft console it will fail big time and you will see Nintendo full out of the home console market a lot faster then you think is possible.

[TheGame]

Originally Posted by gekko

Now when you get back to who is most likely to drop out, you have three choices:

1) Sony - Would make less money
2) Nintendo - Would make less money
3) Microsoft - Would increase profits by 10%

I think it's obvious.

lol... didn't I just say: "Don't get me wrong though, eventually profits are important, but comparing MS to Nintendo in profits now doesn't make a lick of sense."

it's like a gambler... You put money out and in the end hope to get more money back from it. You are the guy standing there saying "Oh man, he just bet $1,000 that the spurs will win the NBA finals, he just lost $1,000 of his income" I am the guy saying "Well, he bet $1,000, but it's too early to say if he has 'lost' the money"

The money MS put down for Xbox to this day is the bet... and the payout goal for MS is in the long run. Nintendo's financial plans stay pretty short-term... and Sony likes to gamble too (losing around $250 on every Ps2 sold at launch in Japan, and $150 at launch in US)

as for the question of who is more likely to drop out... well, MS isn't any more likely to drop out than anybody as long as things go as planned, and right now, this is how they were planning Xbox to start off. Was Nintendo planning for GCN to have less than 15 million in it's first two years on the market? Wasn't Nintendo the ones making reports of how thier profits aren't where they want them to be?

MS (if they were stupid enough) could last forever without profit... but Nintendo not only needs a profit, a nice hulky profit. Thus, imo, making them more likely to drop out or merge.

[PuPPeT]

Well I know one thing! Microsoft have set them self’s up well for the next generation even proving to Sony they don’t know every thing. Microsoft have showed they will be a leader Online gaming and if what some people are saying is ture by the end of the next generation it’s all going to be about ONLINE. (Some thing Nintendo suck at giving a really poor GBA link up instead ARF ARF!!!).