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Michael Bluth
10-25-2003, 02:34 PM
Microsoft reports its game-console revenues are up by $53 million. PC game earnings also increase.

As part of its third-quarter 2003 earnings report, Microsoft announced today that earnings at its Home and Entertainment arm increased 20 percent to $581 million, compared to a $485 million year ago.

The reason? Games, pure and simple. Xbox revenue was up by $53 million--20 percent--from Q3 2002, with the sales of consoles, games, and peripherals bringing in $85 million total. The software behemoth credited its Xbox holiday offering--$179 for the console, an S-controller, two games (Star Wars: Clone Wars and Tetris: Worlds), and a month of free Xbox live--for helping move Xboxes. However, the deal did cut into its bottom line, offsetting total Xbox income by $32 million. No hard numbers of actual console sales were made available.

Microsoft's PC games also sold well, although the company lumped in its earnings with revenue from consumer hardware and software. The three division's combined income increased $43 million, or 19 percent, compared to a year ago.

The game earnings are dwarfed, however, by Microsoft's total sales, which rose 6 percent to $8.22 billion, versus the $7.75 billion it earned during Q3 2002. The company's full earnings report can be viewed here.

Viewed simply by percentage increase, the Microsoft numbers stand in stark contrast to Sony Corp.'s revelation yesterday that its computer entertainment division's earnings shrank 35.6 percent in Q2 2003. However, with an estimated eight to nine million units being sold in all of 2003, the PlayStation 2 still outsells the Xbox several times over.



http://www.gamespot.com/all/news/news_6077286.html


Oh yeah, they don't lose anything - instead, they MAKE money. :evillaugh :evillaugh :evillaugh :evillaugh :evillaugh :evillaugh :evillaugh

dncardman
10-25-2003, 07:24 PM
I hate you...

smellslikenintendospirit
10-25-2003, 08:32 PM
Oh yeah, they don't lose anything - instead, they MAKE money. :evillaugh :evillaugh :evillaugh :evillaugh :evillaugh :evillaugh :evillaugh

"Revenue" and "Income" and "earnings" do not equal "profit". Just because they make money doesn't mean they don't have a net loss. Do you see the word "profit" anywhere in that article? No. Why not? Because xbox yields no profit.

Viper
10-25-2003, 09:15 PM
Microsoft's PC games also sold well, although the company lumped in its earnings with revenue from consumer hardware and software. The three division's combined income increased $43 million, or 19 percent, compared to a year ago.
Any 'profit' made would most likely come from here.

Revenue increase means more money came in this year than last but that is before debt and payouts

Considering we all know MS loses money on each xbox sold it means they also LOST more money than last year.

Can you say.....backfire.

Galcian
10-25-2003, 09:26 PM
Sales-Expenses = Profit

Is there a figure for how much it costs to make an XBOX? The price should have gone down by now.

Viper
10-25-2003, 09:28 PM
According to analysts, they are still sold for less than their manufacturing cost.

If they made a profit on them, why wouldn't MS just tell everyone how much it cost?

Simple, If investors knew just how much they lost on each console....they would not back MS in the next generation and probably pull out now.

smellslikenintendospirit
10-25-2003, 11:00 PM
Simple, If investors knew just how much they lost on each console....they would not back MS in the next generation and probably pull out now.

The biggest investors probably know. And there's no way they're happy. But they have faith that Microsoft will do something to stop Sony's total dominance.

Michael Bluth
10-26-2003, 01:06 AM
If they made a profit on them, why wouldn't MS just tell everyone how much it cost?

Why doesn't Sony? Why doesn't Nintendo?


And if you'll notice, the article says:

"The reason? Games, pure and simple."


As in, Microsoft software.

Viper
10-26-2003, 01:27 AM
Any 'profit' made would most likely come from here.


Looks like I did notice it.

Michael Bluth
10-26-2003, 01:35 AM
Looks like I did notice it.

No, it looks like you noticed PC stuff. I'm talking about Xbox software. And what does the title of the article say?


"Microsoft reports its game-console revenues are up by $53 million"

Michael Bluth
10-26-2003, 01:54 AM
And another source:


Xbox Revenue Grows
Prophet | 13:36 | Industry Buzz

During a conference call to discuss financial results for the third quarter microsoft reported that Xbox revenues climbed by $53 million USD or 20 percent compared to the same period a year ago. PC game sales also jumped, with the total revenue for PC hardware, games, and peripherals bringing in $43 million USD. The driving force behind the Xbox sales was the Holiday bundle for $179 USD which features 2 games an S-controller, the console system itself and one free month of Xbox Live. Xbox revenues for the quarter were around $32 million. Microsoft's big picture for the quarter was $8.22 billion, up six percent from the same period a year ago.


www.gamespydaily.com

Viper
10-26-2003, 01:58 AM
"Microsoft reports its game-console revenues are up by $53 million"
Still......that's REVENUE not profit.

I said any 'profit' would come from the PC games.

Sendok
10-26-2003, 01:58 AM
WooHoo!
MS is selling games and XBoxes!
What else is new?

JackieChanIsGOD
10-26-2003, 01:41 AM
http://cmwd.uuyan.org/pic/bridging-picky.jpg

ScratchedAt
10-26-2003, 02:28 AM
^^^^

What the hell?
I was gonna say yay for viper for making the XBOX fairy tale a fairy tale..but i dont even remember exactally what i was gonna say thanks to that stupid picture.

JackieChanIsGOD
10-26-2003, 02:56 AM
That picture is just as relevant as all the other shite in this thread...

Viper
10-26-2003, 03:18 AM
That picture is just as relevant as all the other shite in this thread...
Chanman, it's never about the numbers, the content or whatever....it's me and Phantagram just knocking each other around. A kind of battle of wits.

AngryHamster
10-26-2003, 03:24 AM
And the casualties are staggering. ;¬]

JackieChanIsGOD
10-26-2003, 03:41 AM
And the casualties are staggering. ;¬]


HAHA!!

*claps*

Bravo!!

I just really dislike the USELESS battles...
I mean, Adam has a very drilling persona... he believes if he can make other people believe (in MS/Xbox), that he has accomplished something...
Numbers matter, why?
A billion dollar corporation is making money selling things...
Hmm... and i need this to be posted, why?

Maybe MS isn't making profit... maybe they are... who knows... who cares.
I don't.
They have a division that makes games. Sometimes, people want to play these games... so people buy them... Blah Blah Blah... i'm continuing on just as randomly as anything in this thread.

I don't know where i'm going with this...
I'm distracted by Christine Cushing.......

Muh...

Viper
10-26-2003, 03:43 AM
I don't know where i'm going with this...
I'm distracted by Christine Cushing.......
Muh...
That's OK, we all still get distracted by you Aria Giovanni pic.