Activist Investor Who Wants To Sell Xbox Division Given Board Seat

ValueAct Capital, the “activist investor” group that is (justifiably) unhappy with the returns from Microsoft’s Xbox video game console business, has officially been offered a seat on the company’s board of directors.

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1927d ago Replies(7)
corvusmd1927d ago (Edited 1927d ago )

What? "justifiably unhappy"? Uh, does this author not realize that Xbox division is one of the most profitable divisions of MS???? Please disregard this article

If Xbox gets made into a separate division that would actually be good for XBox fans, because the larger parent company would step out of the way.

scott1821927d ago

It makes a lot of money but not enough to cover the losses. Microsoft can eat the losses because they are a rich company. As far as I know...

DinoNYC1927d ago

Xbox division is not where MS makes its profit. If Xbox division disbands the conglomerate company and acts independently then they will have less capital and increases costs of production. You seemingly have no awareness when it comes to business.

Bzone241927d ago (Edited 1927d ago )

In the article you posted it says Microsoft has lost $3 billion in the last 10 years on the Xbox, and Sony has lost $5 billion in the same time with the Playstation. It's just amazing how either company is launching a new console with losses like that.

Guess you have to lose money to make money. The last 5 have been profitable years for the Xbox, but still not enough seeing how they are still $3 billion under. Not sure about Sony.

Silver3601927d ago

So much in one quarter, remember xbox division is not just xbox. They threw zune and windows phone. So what ever profits from xbox were cycled back into launching other products.

Enemy1927d ago

^ @ Bzone24: This isn't about Sony, but if you want to make it about them, they've had the best games since the PS2 days to now, and will continue the trend with the PS4. Sony cares about the industry, Microsoft clearly does not. Sony cares to a point where they let developers decide what they wanted the PS4 to be. They let anyone publish on PS4. They buy developers to continue having them make games. They don't have ridiculous policies that keep games OFF of their console.

Look at everything Microsoft had to change for Xbox One. Never has a "gaming" division received so much hate. The fact that they were even set to release the console like that goes to show how much they really care about consumers. If it weren't for Sony being the way they are, Microsoft wouldn't have changed a damn thing. Microsoft, as they currently are, have no vision, no business in the future of gaming.

Bzone241927d ago (Edited 1927d ago )

Wow Enemy, defensive much?

I was just commenting on the article Dino posted. If you think that was some sort of attack on you or sony, I'm not sorry, because you are being way too defensive.

I know that any perceived negative towards Sony must be attacked on here, but that wasn't my intentions. You should calm down.

+ Show (1) more replyLast reply 1927d ago
joeorc1927d ago


"If Xbox gets made into a separate division that would actually be good for XBox fans, because the larger parent company would step out of the way."

I would 100% agree, with this if the people who first founded the xbox platform was still in charge, like ED fries, robbie bach,seamus blackley , otto, an jay. but the fact the orig 10 execs are all gone.

This may not be, that great because the people in charge of the xbox platform right now may not be that gamer focused. An i am Not talking about the xboxone engineers, because they did a great job on the design.

Just the Admin's in charge are not doing right by the xbox platform in my opinion. selling it off to be by itself is short term thinking which means could be even a public buyout, bad if you would want to keep the xboxplatform in house, getting this part sold off would or could be good short term, but long term could be drastic measure of loss of the entire spin off because parts could be sold off to the highest bidder leaving the other less profit bearing of the spin off to die on the vine. wither til there is nothing left.

Deadpoolio1927d ago

Ummmm NO it is not the most profitable division in anyway shape or form...Please know what your talking about before you actually comment...They have not made 1 nickel off of the Xbox going all the way back to it's conception. And any chance they had of a profit with the 360 was killed the minute that decided to release a faulty defective product with a 55% failure rate, that they spent 4+ years correcting. That cost them billions genius......

Again the Xbox division has not made them a penny and has actually cost them money....they make more money on their SOFTWARE than anything else...Are you mentally retarded in some form cause nothing would be more profitable for Microsoft than their software

+ Show (1) more replyLast reply 1927d ago
warewolfSS1927d ago (Edited 1927d ago )

This is rediculous. This has nothing to do with games. Here come all the N4G financial analysts.

Here's an idea. Every time you feel like trolling This article, Remember that Sony was doing so bad, they had to sell BUILDINGS, to stay relevant.

Enemy1927d ago (Edited 1927d ago )

Xbox has nothing to do with games then? A lot of us knew that for awhile but you just confirmed it.

Speaking of relevant! Nice job bringing up Sony, who pretty much owns the gaming industry year after year. :)

GarrusVakarian1927d ago

Yet they don't have someone on the board of directors that wants to SELL THE BRAND.

scott1821927d ago

Yes Sony did Major (needed) restructuring and they posted a profit this year...

No_Limit1927d ago (Edited 1927d ago )

The net profit of about $30 millions also taken into account for the selling of buildings in their financial statement. Without those buildings sale, Sony would be in another quarter of loss.

scott1821927d ago

True, but the outlook of the company is significantly better in a financial sense, due to the restructuring and increased sales of hardware units. Not to mention the popularity of the PS4 and their Viacom deal that could bring cable-less tv to many of their hardware units.

Deadpoolio1927d ago

Something that Microsoft has not done with the Xbox in 10 years....Obviously the Microsoft fanatics are mentally retarded or just slow....Microsoft has NOT made 1 single solitary penny off of the Xbox brand, it is in reality their least profitable division. The majority of their money has and always will come from their software....

die_fiend1927d ago


You sound pretty bitter about the whole thing, talking about selling buildings and whatnot. If anyone is trolling it's you. You can at the point you say 'rediculous'

For this reason I'm pointing out that is that you can now change your name to werewolf

KillrateOmega1927d ago (Edited 1927d ago )

It directly involves the Xbox brand, so, yeah, it actually does have something to do with games... :P

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Bzone241927d ago (Edited 1927d ago )

Page is now back up.

gaelic_laoch1927d ago (Edited 1927d ago )

Tick Toc Mr M$ man, that is the sound of your time with the xbox running out (said in a Bane voice)

warewolfSS1927d ago

That's corney man. Sit back and read what you just wrote. Don't you feel foolish at all?

If you couldn't post anonymously, you wouldn't be posting at all.

gaelic_laoch1927d ago

"If you couldn't post anonymously, you wouldn't be posting at all."

Your damn right, too many weirdos out there!

Hicken1927d ago

It's corny, not corney.

And why waste your post with such a pointless one of your own? Hell, even your first post was stupid.

A new member of Microsoft's board has expressed rather strong interest in selling off Xbox. How does the potential selling of the Xbox brand have nothing to do with gaming?

And yet you're among the first to start tossing "trolling" and "fanboy" around, when only a fanboy could make the sort of blinded comments you frequently post.

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