Does Microsoft have to turn a profit in their Entertainment Division to beat Sony?

ElderScroller27 · 05-07-2007, 07:32 PM

It just seems to me that when they are dealing in a Market where Multiple Tens of Billions of Dollars are being Spent and Earned that They really don't have to be able to Boast a real profit in each quarter in order to Claim a Victory over Sony or their other Competition. By Controlling a larger part of the market and NOT Losing the most Money Microsoft is outmaneuvering Sony and Gaining speed as Sony blunders and Loses Ground. Then in a couple years Microsoft will have surged ahead with stability to start making profit while Sony is still scrambling to even break even let alone move forward into a position to try and turn their own profit....

Mabye I'm completely wrong but it's just the way it seems to me..

stuntman101 · 05-07-2007, 11:09 PM

haha, dont make me laugh.. microsoft only struggles in the GAME division.. They have so much money sometimes i dont think they know what to do with it but just pay companys to make games for their consols.. Microsoft has been in buisness long before sony.. dont dont give me that crap...

friedkarma · 06-07-2007, 10:07 AM

Quote:

Originally Posted by stuntman101

haha, dont make me laugh.. microsoft only struggles in the GAME division.. ..

Billions of dollars in revenue is struggling????????????????

mkay

Kona Palangi · 06-07-2007, 10:39 AM

Yeah they are hurting bad .... I foresee MS folding in a year or two.

ElderScroller27 · 06-07-2007, 11:33 AM

I was just trying to comment on the idea that they can LOSE money in the entertainment division and still claim an easy victory over Sony, for the record Sony makes Crappy clock radios.... so i hate sony.

Kona Palangi · 06-07-2007, 11:41 AM

Quote:

Originally Posted by ElderScroller27

I was just trying to comment on the idea that they can LOSE money in the entertainment division and still claim an easy victory over Sony

Captain Obvious on patrol to save the day.

remixFA · 06-07-2007, 12:02 PM

MS is set to make a fortune on the 360. Their estimate start by next year they will be making full profit on every game and console sold (first time in their history). They even said in the recent OXM that they will ride out the 360 as long as it is profitiable, much like how sony is still riding the ps2. They have stock holders to come to terms with too ya know. If they make 20 billion on windows crap, and then lose 15 billion on gaming, while they are still netting 5 billion, its not gonna make the investors happy. (of course the numbers are inflated for ease) It is still a business, and business's must profit to stay alive. MS just had the availible cash to take longer to do so.

Kona Palangi · 06-07-2007, 12:46 PM

If you are speaking of the gaming industry specifically I doubt they will see a profit in the foreseeable future. It was expected to turn a profit after the release of Halo 3 but with the extended 3 year warranty their entertainment and gaming division will be taking over a billion dollar loss. This will effect their fiscal year numbers significantly.

MidnghtDrgn · 06-07-2007, 12:54 PM

Quote:

Originally Posted by stuntman101

Microsoft has been in buisness long before sony.. dont dont give me that crap...

Sorry, I just had to LOL at that.... Sony was founded in 1948 man... Bill Gates, founder of Microsoft, wasn't even BORN until 1955..

remixFA · 06-07-2007, 03:52 PM

haha, burned!

read the latest OXM joel, its got an article about profit/loss and why they have done things the way they did at MS. They r makin money now

Kona Palangi · 06-07-2007, 04:11 PM

Look at their fiscal year numbers they provide to their SHAREHOLDERS. **** what OXM says I believe the reports they file with the SEC.

remixFA · 07-07-2007, 12:04 AM

its an interview w/ oen of the top dogs in the gaming devision. They will start making money next year he said, not right now.

stuntman101 · 16-07-2007, 10:13 AM

blahhhhhhhhhhhhhhhhhhhhhhhhh

friedkarma · 16-07-2007, 10:35 AM

Quote:

Originally Posted by MalohiTafataha

If you are speaking of the gaming industry specifically I doubt they will see a profit in the foreseeable future. It was expected to turn a profit after the release of Halo 3 but with the extended 3 year warranty their entertainment and gaming division will be taking over a billion dollar loss. This will effect their fiscal year numbers significantly.

They took the hit in their fiscal year ended June 30, 2007. The billion dollars doesn't carry over to the new year that began July 1. It's last year's news from a financial statement prespective.

Kona Palangi · 16-07-2007, 10:57 AM

Yes their fiscal year ended June 30th so how do they plan to go about attributing over a billion dollars of lost revenue in repairs for the current year? The billion is an estimated dollar figure and with everyone sending in their 360's who is to know if it will not exceed 1.2 or 1.5 billion. It is merely speculation. I will believe MS will profit in their GAMING DIVISION when Neil Cavuto says so and quarterly numbers are released. Is it plausible, with the Fall and Holiday line-up yes but I choose to wait until confirmation is provided before I tangent on about the what ifs and infinite possibilities and outcomes.