Game Developer & Video Game Enthusiast.

Orchard

Member
CRank: 18Score: 277270

Making a profit on units doesn’t mean the entire hardware program is profitable, R&D costs are pretty high. Most revenue (and profit) comes from games, MTX and subscriptions.

The article you linked even covers it:

“From a profitability perspective, PS4 is also already contributing profit on a hardware unit basis”

Notice he explicitly calls out hardware unit - not program. I’d be very surprised if no xbox console ever got to being pr...

1763d ago 1 agree10 disagreeView comment

"As far as I can tell MS threw in the towel with XB1 and "TV-TV-TV!" What I'm waiting for is the them to either realize that and pack things up"

They just bought Zenimax for 7.5bn dollars, and had their biggest quarter ever. Which part of that is 'throwing in the towel'? and why would they 'pack things up' on the back of their biggest quarter.

Thank god you don't run a company, especially a successful one.

1763d ago 5 agree13 disagreeView comment

@Godmars but your statement applies to both Microsoft and Sony. Neither of them have profitable hardware programs - so presumably that means they both don't know what they're doing and only Nintendo does?

1763d ago 2 agree7 disagreeView comment

Neither company really gets 'in the black' with hardware programs, only individual units. Both Microsoft and Sony start making profit per box sold, yes. But that doesn't mean it has offset the R&D costs.

"Normally once a console has sold enough and the parts get cheaper to make over time, the profit starts to come on each console sold"

This is no longer true. It was true when we only had one console SKU which just kept getting ma...

1763d ago 4 agree14 disagreeView comment

This is pretty neat for getting kids into programming early on, and letting them see strong results immediately & keep them interested (rather than 'real' game programming where it's a lot of effort to have anything on screen).

1763d ago 5 agree0 disagreeView comment

"Series X/S - Why? Just why?"

I guess you couldn't find anything negative to say about the X/S and that was the best you could come up with? Kinda devalues the rest of your post.

From a hardware perspective, X and S are pretty impressive in their own ways. MS has come a long way from the days of OG Xbox.

1763d ago 7 agree14 disagreeView comment

So we're now pretending Microsoft and Sony "don't know what they're doing" and only Nintendo do?

Seems unlikely. Different business strategies is all.

1763d ago 6 agree6 disagreeView comment

Agreed, so far so good!

1763d ago 0 agree1 disagreeView comment

@TheProblem It'll be the 'up to' part, the 1440p version will hit 60fps more consistently.

1763d ago 3 agree0 disagreeView comment

A lot of people here misunderstanding that this refers to the Xbox hardware program over all, not individual consoles.

Take PS4 for example, PS4 units started being sold for profit at some point, on a per-unit basis. That does not mean the entire hardware division started generating profit / offset the cost of initial HW development & the per-unit losses during launch.

It is no secret consoles are sold as a loss-leader (with the exception of Nintendo)...

1763d ago 6 agree18 disagreeView comment

Excited for ME:LE. I'm really hoping they don't screw it up...

1763d ago 1 agree2 disagreeView comment

Based on the behavior we’re seeing come out this week via the courts - they will fit in perfectly & be right at home.

1764d ago 2 agree0 disagreeView comment

Too low for what exactly?

1764d ago 5 agree9 disagreeView comment

Pretty hyped for the sequel - loved the first.

1764d ago 3 agree0 disagreeView comment

"Given that Microsoft doesn't share numbers, I estimate that Series X has actually sold 10 billion units"

Complete speculation and guessing is funny like that.

1764d ago 6 agree8 disagreeView comment

How does going from 30% to 30% equate to 'making more money'? Interesting clickbait title.

It should be 12% though, 30% is huge.

1764d ago 3 agree9 disagreeView comment

Remember when people were saying the PS version was going to be half the size of the Xbox version? That didn't age well.

1764d ago 4 agree3 disagreeView comment

@RauLeCreuset

Shocking because I was unaware of it, and I'm shocked that companies, especially big ones like Epic, went along with it - especially when other platforms do not mandate such revenue sharing of cross-play 'content'.

Yes, compensation is triggered based on a formula. But what right does Sony have to revenue generated on another platform/device? None. That is worse than Apple charging 30% for items sold through their store... Sony a...

1764d ago 0 agree3 disagreeView comment

I've offered you next-gen devkit pictures with a customized hand-written message of your choice. I'm waiting on you accepting it. That is more than enough proof of being a dev - unless you're about to tell me I can buy next-gen devkits in Walmart.

https://i.imgur.com/fCFOCeM...

1764d ago 1 agree3 disagreeView comment

This game looks great everywhere. Early gaps may be starting to show with the TF gap, but I'd also caution that people seem to be jumping the gun and analyzing a demo - we don't know how old this demo build is... it's likely months old and doesn't include the final polish they did as they pushed towards release.

1764d ago 3 agree10 disagreeView comment