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Will Microsoft sell off its Xbox business? It doesn't look likely

Some Microsoft shareholders, including cofounder Paul Allen's investment group, have called on Microsoft to sell off its Xbox business as a means to boost profitability. Nokia CEO Stephen Elop, who now runs the Xbox business, was even reportedly interested in unloading the Xbox unit.

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gamespot.com
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fonger08851d ago

It will be interesting to see what their E3 presentation is going to be like... whether they are focusing on the home media side or the games side more. They are not catching the Playstation this gen, but it will interesting to see if they have a 2yr, 5yr, or even a 10yr plan.

snuffles851d ago SpamShowReplies(13)
Geoff900851d ago

So you have already foreseen the future have you?

It's been a few months into the Xbox One's/PS4's life cycle, and you have already declared a 'winner'.

I find it amusing that people say such shit, without understanding business, it's not about sales it's about profits you can sell hundreds and millions of products, but if you aren't making money on it then it's pointless.

fonger08851d ago

The principal of math and logic are lost here... I would suggest not wasting the brain cells to argue any valid points...

mrpsychoticstalker851d ago

Sony has to sell twice as many ps4s in order to make the same profit Microsoft is making selling the Xbox one at $500. and now with a slight drop on price, it will do even better.

I think Microsoft already made hardware profit and now they will move to software, games, capabilities! using what they do best: Marketing!

there's no way they will sell the Xbox division.

only a small fraction of gamers read and follow N4G. there's a big world out there!

Pon4851d ago TrollingShow
headblackman851d ago

the showed all games last e3 and got a lot of awards for the games that were shown. this year won't be any different!

BakPAin851d ago

Cut the shit dude. E3 will be all about games just like last yr. MS has other venues to Intorduce any home media stuff.

fonger08851d ago

Wait wait wait, just because last year they had two separate Xbox one announcements one to showcase the media capabilities otherwise known as the "foot in mouth" show, then the E3 show to do the "reverse 180" show" does not mean they will not showcase media capabilities separate from E3 this year. Because if I go back to 2010 30 minutes in, 2011 28 minutes in, or 2012, 35 minutes in they are talking some heavy home media stuff. One E3 does not excluding from making home media announcements from the E3..

+ Show (2) more repliesLast reply 851d ago
iamnsuperman851d ago (Edited 851d ago )

This article is extremely pointless. Lets ask a Microsoft employee who is the guy who runs the game studios/PR (since its sort of part of the job) department of Xbox if Microsoft are still thinking about selling off the business.

What answer were they going to give. Yep but keep buying our system.

hollabox851d ago

Agree, Sony would probably sell their division first given their current situation.

Fz6soldier851d ago

Sony needs Playstation, MS doesn't need Xbox. Playstation will be the last thing Sony sells off.

Geoff900851d ago

Hence why Sony is putting everything into PlayStation.

hollabox851d ago (Edited 851d ago )

@ GEOFF900 and Fz6solider

Sony may need Playstation but it wouldn't stop them from selling the brand in order to survive. Heck, over the last couple of months Sony has already made some cuts to their super talented first party developers and probably forced resignation of some key upper management employees. Basically what I'm saying, when comes down to the wire not even the Playstation brand will be safe from being dropped or sold despite what upper management might say.

Geoff900851d ago (Edited 851d ago )

Sony wouldn't sell their main product, which they have invested many decades in, hence the restructuring, the lay offs etc.

Sony has no intention of letting the PlayStation go, that's why they sold Viao, so on and so forth.

They make more money from PS, than quite a lot of their other lines.

The old age adage can be said here, Sony is putting all it's eggs in one basket, will this pay off is another matter.

hollabox851d ago (Edited 851d ago )

@ GEOFF900

Sony will sell any brand if they have to, its business, nothing more nothing less. If you purchased something on credit and found out later you can't afford, what do you do? You take it back or sell it. If times are tough and you need money, what do you do? You sell your personal belonging in order to survive.

If Sony runs out of money or PS4 money is not enough to keep the big wigs mansions clean, they will and have been laying off employees and contractors in the PlayStation division. Of course like every major company a PR statement will follow.

"Sony is committed to providing excellent quality products and services to our consumers. But in times of unfortunate circumstances we Sony cannot continue our current business model. Departmental cuts are unfortunately necessary, less profitable divisions will be closed or sold in order to maintain profitability. This is the unfortunate side of business. We are announcing today, the PlayStation Brand we build is being sold to Samsung! We trust in Samsung ability to continuing the PlayStation tradition in providing first class hardware and software to our consumers. We understand our fans frustration but in order to continue our business quality of life, selling the PlayStation brand is completely necessary. I want personally thank everyone for your support and understanding of this purely economical business decision."

This is the same thing that happened to Sega! Sega said they would not exit the console business right before Dreamcast launched. There were reports Sega was down to $2 billion in assets with $600 million in cash and people including myself was questioning if $2 billion is enough to support a console. A couple of years later what did Sega do? Well we know already, they crushed fans hearts myself included. I don't want this to happened, I was laid off myself along with 76 former co-workers in 2009 after my company promised me my division would not be affected by cuts.

+ Show (2) more repliesLast reply 851d ago
Cobra951851d ago

Exactly. There is only one sane, job-keeping answer in that scenario. What else would he say? It doesn't mean that he's lying, though. MS would be stupid to dump the Xbox brand now. They've already paid dearly for the market share, and if they play their cards right, they'll be reaping a lot of profits. That's a big if, though. Let's hope.

christocolus851d ago (Edited 851d ago )

MS has been investing like crazy into the xbox division of late, more ips, new studios, expansion of their 1st party studios(new hires) and with their rumored plans for VR ..I think the console definitly has a great future and xbox fans should be happy about that besides the xbox one isn't selling badly at all. 4mill consoles sold in 13 countries in 4months isn't a bad figure by any standard....it seems highly unlikely they will want to sell it off.. Since the console is doing ok and they seem to be on the right track now.

prettyboy12851d ago

4mill where did you get that nnmber?last i checked they were still at 3mill almost 4.stop reaching dude its pathetic

BX81851d ago

Yeah stop reaching. We all know when a prettyboy checks numbers, They don't update till prettyboy checks them again.

BakPAin851d ago

Your the one reaching! What you still going off an almost two week old vg charts? If it was @ 3.9 mil then I think its safe to say its surpass 4mil! No big deal dude just keep it moving with all your hating!

Software_Lover851d ago

............... Just when this idea had left the crevices of my mind, someone brings it back up.

Why people, why?

MilkMan851d ago

TO bad, I heard Nintendo is in the market to buy.

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