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Microsoft executive confirmed Xbox consoles have never been profitable

Microsoft executive confirmed Xbox consoles have never been profitable

While Epic Games and Apple’s trial continues, Microsoft executive reported they sold Xbox consoles at a loss. Microsoft has been producing game consoles since their first console’s debut in 2001. It is not an unusual strategy for a company to sell consoles at a loss. Microsoft also could not make profit from video game sales, subscription service Xbox Game Pass, when component costs are high.

Cem
Cem
Jacob
Jacob 1 months

Microsoft isn’t a dumb company their Market cap is nearly 2Trillion USD for a reason. They know if they can sell them at a lower cost, with best in-class performance (Series X vs PS5) they can charge more for subscriptions, and micro purchases on their store. This metric must be accounted in here, because I’m sure they turn a profit either way.

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