Microsoft losing too much money?

Bond · 12-14-2002, 07:05 PM

Quote:

Not at all. A great new AP article was released off the wire which tells how happy our big friend Billy G really is. Although the article includes Microsoft as a whole, here is some of the more important Xbox information:

"As Sun Microsystems, AOL Time Warner and Oracle struggle with low stock prices, revenue declines and layoffs, the company they all love to hate had a phenomenal year.

Microsoft rang up record revenue in its most recent quarter, launched a flashy new video-game service and rolled out the Tablet PC, a pet project of chairman Bill Gates.

The company released MSN 8, a redesign of its Internet service and its most competitive effort yet against industry leader AOL. Microsoft also joined with hardware manufacturers to produce the Tablet PC, which includes handwriting recognition and has long been championed by Gates as a logical next step in making computing more portable. It also launched the Xbox Live online games service, a big bet for the future.

The company's 85 percent profit margins for Windows and 78 percent for productivity applications including Office, remarkable in any industry, allow Microsoft to easily sustain losses in Xbox and MSN.

But Microsoft is confident its massive investments will pay off.

"We don't think this is a mature industry in the sense that the inventions and the excitement are all beyond us," Smith said. "We think we have another two decades of innovation and change ahead of us. And we all share a great faith that these changes can be of profound benefit to society."

You can read the whole article by clicking here.

Yes, well. Quite interesting indeed. I bet lots of you were thinking this would be a great topic to bash Microsoft eh?

Joeiss · 12-14-2002, 07:19 PM

LOL.. I was thinking when I read the title : Why would Bond make a post that shows that MS is doing bad?

LOL

Jonbo298 · 12-14-2002, 07:41 PM

It has seemed like lately M$ has been in the more favourable category. I haven't heard of much bad news like layoffs from them.

Bond · 12-14-2002, 08:35 PM

Quote:

Originally posted by Joeiss
LOL.. I was thinking when I read the title : Why would Bond make a post that shows that MS is doing bad?

LOL

At first when I read the article I also thought it was negative news. It's pretty interesting though how people try to put preconceived ideas into your head before you actually read the truth.

fingersman · 12-14-2002, 09:35 PM

Heh .....When I read the thread's title I imagined Dyne coming in the thread and saying how Xbox will fail, and that M$ will fail and Nintendo would only have Sony to take down.

Well this is good news....because it looks like Xbox is here to stay, hence more competition in the industry and like I said before there is nothing better than Competition inside and industry since the consumers will benefit the most.

Yup yup

Perfect Stu · 12-14-2002, 10:20 PM

Quote:

Originally posted by Joeiss
LOL.. I was thinking when I read the title : Why would Bond make a post that shows that MS is doing bad?

LOL

you're high, aren't you?

GameKinG · 12-14-2002, 11:28 PM

Yes well, you can account xbox for -5% of that profit...They could have had MOREZ!!!1

Happydude · 12-15-2002, 12:19 AM

Quote:

Originally posted by Perfect Stu

you're high, aren't you?

lol..that made me laugh!!!

as for the topic...lol...just wanted to read how "Billy G" was doin

guess he ain't doin that bad...

Angrist · 12-15-2002, 08:59 AM

Beh, next time don't cry wolf or something. Now I read something positive about M$!

Joeiss · 12-15-2002, 12:40 PM

Liek seriously Stu, when aren't I high?

PuPPeT · 12-15-2002, 02:04 PM

Quote:

While Microsoft continues to loose money on Xbox hardware, the company may actually turn a profit on their game console due to stronger than expected software sales this holiday season. According to financial analyst Charles Di Bona of the firm Sanford C. Bernstein, "Preliminary reports from retailers indicate that game software is moving extremely well this holiday season as discount-driven console sales through the fall have boosted the installed base. Depending on the performance of console sales, revenues could swing some (plus or minus) $200 million around our base case." As a result, Di Bona has revised his projections for Microsoft's earnings this quarter to 50 cents from 49 cents.

Posted by Xengamers.com

Well it looks like Xbox is not so much of a downer to Microsoft after all.

bobcat · 12-15-2002, 04:06 PM

MS losing too much money? There's such a thing?

Perfect Stu · 12-15-2002, 10:02 PM

Quote:

Originally posted by Joeiss
Liek seriously Stu, when aren't I high?

*rubs chin*

touché...