Video Games: PC, PSP, PS3, xBox, and Wii Gaming News

XBox 360 to be Profitable by Summer 2006

Posted in Hardware, Microsoft, Promotions, Xbox 360 by Elliott Back on January 1st, 2006.

According to Ars Technica, Microsoft is betting on the summer Halo 3 drop to bring their xBox 360 into the black. Right now, every sale may be losing as much as $126 per xbox sold. I quote:

Only Nintendo, which relies on video game sales as its primary source of income, has maintained consistent profitability on the sales of their consoles.

I am not sure, then, who *is* making money off their xboxes. Software developers with smash titles and low in house costs may, but how does Microsoft win? It’s losing gobs of money entering this arena…

This entry was posted on Sunday, January 1st, 2006 at 2:30 am and is tagged with video game sales, ars technica, consistent profitability, halo 3, xbox 360, software developers, gobs, primary source, consoles, xbox, nintendo, microsoft, making money. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback.

One Response to “XBox 360 to be Profitable by Summer 2006”

  1. ramsey says:

    Microsoft, like the rest of the console devs, makes money off of royalties from games and accessories.

    Microsoft, for instance, has a racket going with Xbox 360 accessories. If you want to sell a controller or what not for the XBox 360, you have to had MS a chunk of your sales. They even have security features to make sure that you pay up.

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