Top
80°

Will Microsoft’s Kinect Success Boost the Stock?

CNBC: I don’t want to be a party pooper, but there aren’t a lot of reasons to think Microsoft stock should react to Kinect at this point.

The story is too old to be commented.
GenericUserName2843d ago

Stock boost? So we are done talking about how microsoft will close down the xbox division?

Chris3992843d ago

That's not what the article is about at all. I've done the reading for you and here it is:

The article commends MS' success with Kinect, but seeing as how small a portion of MS' overall profit Kinect and the 360 division are, it will have a minimal impact on the overall share value.

Analysts have been saying this for a while. This is where the whole segment off (not "close down") the Xbox and Entertainment division idea comes from. Shareholders don't want it eating into their Office and Windows profits. Gaming is a very, very small slice of the MS pie.

HappyGaming2843d ago (Edited 2843d ago )

Microsoft is not dependent on 360... neither is Sony on Playstation.

Look at the value of MS stocks over the last year:
http://adf.ly/CtL7

I don't think you could tell me why all those peaks happened based on Xbox 360 alone.

If we talked about Nintendo we probably could link the peaks to console release dates and sales in a more accurate way:
http://adf.ly/CtNP

We can see around 2001 Gamecube releases and their stocks fall in value... but than around 2005 the Wii is released and it booms higher than ever before.

This doesn't work with Sony and MS who make most of their money from other sectors.

gamingdroid2843d ago

"Analysts have been saying this for a while. This is where the whole segment off (not "close down") the Xbox and Entertainment division idea comes from. Shareholders don't want it eating into their Office and Windows profits. Gaming is a very, very small slice of the MS pie."

Actually it is the other way around. Investor don't want Xbox division current success/profits to go unrecognized, similar to how Blizzard was unrecognized as part of Vivendi and subsequently merged with Activision.

The profit is so small relative to the software profits for MS that nobody really cares. Imagine how much Xbox division would have been worth if it was split out like Nintendo. After all the entertainment division itself post a higher profit than Nintendo!

Chris3992843d ago (Edited 2843d ago )

http://www.tomsguide.com/us...

They want to separate it from the Entertainment and Services division so that it can actually post decent profits. It's the other services in the division that are dragging it down. Sorry if that wasn't clear but I did say "entertainment division".

2843d ago Replies(1)
units2843d ago

lets pretend all those gran triumo selling this many article never existed

Wizziokid2843d ago (Edited 2843d ago )

I do miss all of those Kinect will fail articles now.

/Sarcasim

MaximusPrime2843d ago (Edited 2843d ago )

Japanese would read this headline and say "success?"