However, the operating loss at the division was a very substantial $209m - illustrating just how difficult Microsoft is finding it to make money out of the Xbox. Compare this with closest rival Nintendo, which made just shy of half a billion dollars profit in the year to 31 March - and expects a billion dollar profit in the current financial year.The Register
Of course, Microsoft has arguably never needed to make money out of the Xbox, only to establish itself as a market player. After all, despite the losses incurred by Xbox, the company as a whole still made $1.32bn in the quarter (down slightly due to $1.89bn in settlements with Sun Microsystems and the European Commission) and added over $3bn to its cash and short term investment reserves, bringing the cash pile to an astonishing $56.4bn.
Written by: Lasse Penttinen @ 26 Apr 2004 7:55