http://n4g.com/NewsPending-...

"Microsoft sales fall for first time in 23 years
Software giant revenue drops 6% and earnings plummet 32% as PC sales continue to weaken."

isn't bs.

Revenue the same, profit down 130% year over year for this quarter for MS Entertainment. That's true. Revenue up slightly during the holiday's, profit down 60% year over year on record 360 sales for MS Entertainment. Also true.
Slide started when MS cut the 360's price. Well, that's true as well.

What seems to be the confusion here?

Edit Below: The data right there in MS's release. Do the math. You tell me why sales are up, revenue is the same and profit is drastically down. If it was because people weren't buying 360's then the revenue would be taking a hit as well and that's not happening.

I doubt it's 130% and who hasn't been affected by the recession/depression?

This is FUD I really don't see this as doom for the 360 after all the huge strides MS has made in the console market.

well that the link has nothing to do with the N4G Usaer created description...

nope, i cna't find 130% down in any artcile.

FUD

I'm not sure but I think zune losses are also part of the entertainment division????

I remember reading last year that microsoft lost alot of money on zune's poor performance, but in typical microsoft fashion I dont think their going to give up, probably why theres rumors they are going to "go back to the drawing board" and bring out the zune hd in hopes of grabbing at least a little fragment of ipods market. well either way I think 360 strong hardware sales and still high software attatch rate is a big plus for microsoft.

whoa, OK that headline is made by the contributor, yeah I don't see anything about 130% and it also talks about the weakend PC market hurting business

umm where does it it state 130% decline year over ????

I see 32 and 30 % respectively.. or im not reading properly ??

@Below.. well. obviously the title was created for hits and Flamebait...

"MS Entertaintment year over year Profits Declined"

there's the title...

@Unwanted Dreamz

Apple just posted their highest profits ever for a quarter ever, with profits UP on last year despite selling premium products: http://www.apple.com/pr/lib...

These are financial statements so you'll have to do the math to get the 130%.

Good catch but lets be honest they like energy companies are for the the most part an exception. Do I need to pull numbers from the Wallstreet or do you get what I mean when I say, most companies are feeling the crunch?

I usually leave you to your own devices as it's pretty clear where your 'loyalties' lie, but I would be really interested in seeing the mathematics involved in your 130% drop in profit (even though the title has now been changed).

Not saying you were wrong (though that type of drop seems out of the ordinary), but if you could supply your 'working out' I would be interested in seeing it.

If you scroll down to the "Segment Revenue and Operating Income (loss)" financial statement, then go down to the section that says "Operating Income (Loss)" and you'll see that under the "Entertainment and Device Division" they had made 106 million last year, and this year they've lost 31 million.

Edit: As for the title and description change, that is correct. But so was darkride. MS' revenue is down $25million which isn't too bad but when you factor in their operating costs, They made $103 million last year and lost $31 million this year. So yeah they're making about the same in revenue but the cost of running the Entertainment and Device division got more expensive for some reason which cut ALL their profit.

"when a man bends down to look at another persons ass, he forgets that his ass is now open to the world to see".

In your quest to make Microsoft and the xbox brand look bad you instead show the world your high level of stupidity.Are you sure your really 35 years old? Because twisting information like this to fit an agenda that you don't even get paid for is something that i would not expect from a grown man.

HAHA, the title has changed. Just a pathetic attempt by Darkrider. This is the type of guy that would shed a tear if he lost a bubble. So take them away boys!

@Unwanted

Yes most are but you said "who hasn't" not "most". Just thought it was interesting/remarkable seeing as they are competitors in a lot of the same industries and how yes many are suffering.

lol,

the title changed and still isn't right.

wow

darkride66 must really hate microsoft, seems he went out of his way to force out some bad news for them. He even included a complimentary pic for the occasion. So sad. Maybe he was trying to get revenge because of all those sony is doomed articles, either way whatever it was its soo childish, 360 supporters are just as guilty. I know it sounds corny but why can't we appreciate all the consoles and just be happy there are some great choices to make as a gamer? Stuff like this is just embarassing I don't care what console you prefer. No wonder why non-gamers just think we're all a bunch of immature kids.

Thanks for that mate. On base value I can see where he got the 130%, so I stand corrected. Though I'm guessing the 290 million in Employee severance would be a factor in loss of profits, not to mention the 3 year warranty that was extended to the E74 errors?

Cheers

Another title and description change?

I said when the Xbox fanboys were mocking Sony for reporting losses... The economy is world wide and in trouble right now. We all are seeing hits to our profits and MS is no different. Hopefully the delusional fan-tards will see that this is not a console thing but a worldwide issue that hopefully is resolved sooner than later.

Based on iHEARTboobs' post: "If you scroll down to the "Segment Revenue and Operating Income (loss)" financial statement, then go down to the section that says "Operating Income (Loss)" and you'll see that under the "Entertainment and Device Division" they had made 106 million last year, and this year they've lost 31 million."

Then the math would be
Last Year = 106
This Year = -31
Difference = 137

So, 137/106 = 1.29 or 129%

I'm assuming that's where the 130% from the original title came from?

amiright?

And maybe the title was provocative, but at least Darkride is trying to bring an analytical perspective to the debate.

Wow, how did they manage to lose $31 million in their entertainment division this quarter? Have they been giving some more money to devs for exclusivity or is this just the effect of the recession alone?

"The E&D Division is composed of five main businesses: the Interactive Entertainment Business, home to the Xbox and Games for Windows gaming platforms; the Mobile Communications Business, which develops and markets Windows Mobile software, services and applications; the TV, Video and Music Business, comprised of Microsoft Mediaroom, Windows Media Center and Zune software and services; and the Specialized Devices and Applications Business, which includes the Hardware Group, Microsoft Surface, Office for Mac, Microsoft Auto and Windows Embedded software."

I have not read anywhere that the reduced profits are due to XBOX 360 performance. It seems like the E&D division has a lot of products other than XBOX that could have contributed to the numbers. Does anyone have proof that it was XBOX 360, and not any of these other products, that caused the reduction in profits? Is there any breakdown of the individual products in this division and how each contributed to revenue and profits?

Sales and profit fell in all of Microsoft's businesses, except its server business, which managed to squeeze out a 7% rise in revenue and a 24% jump in earnings. Revenue from its entertainment and devices division, which includes the Xbox 360, fell 2% from last year and suffered a loss of $31 million in the quarter. The company's business division sales dropped 5%.

You mention revenue fell 2% for MS games vs the same quarter last year. The quarter before revenue and sales were up, but profit fell 60% year over year during the holdays and now they took a profit of $106 million and turned it into a loss of $31 million, 130% decline. All since the price cut.
If it were sales problems or the recession we would have seen revenue fall off. This hasn't happened. So you tell me what's going on.

does nothing but make money. Even in this economy when companies like sony lose billions, Microsoft still cherns out incredible profits, even if they are down from last year that is incredible, now only if my stock in them would increase, oh well the fact that they pay a dividend means, I made money. wooo hooo

Gaming division is losing money again. 31 million though, it's nothing for microsoft.