510°

Microsoft fined by China for breach of rules with Xbox division

Both Microsoft and their business partner, Shanghai Oriental Pearl Media co, who were responsible for launching the Xbox One in the country were both fined by the Government.

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gearsiege.com
S2Killinit3128d ago

Hmm for some reason xbox has lost 2.75 million dollars in china since launch. I wonder what problems they are having there that lead to a loss instead of a gain. And only 100 thousand consoles have been sold there? How? Its a country of billions of people...

Gearsiege3128d ago

They loose money through advertisement and other stuff to i think.

bmf73643127d ago

Advertising, distributing, manufacturing (China systems are region locked for censorship) and the fact that PC gaming already has a very strong threshold of the gaming market in China. Consoles like the Xbone won't stand a chance in a market like that unless it has a AAA lineup that appeals to Chinese consumers. I don't think the PS4/Wii U would do well either due to recent political issues between China and Japan.

TheGreatGamer3128d ago (Edited 3128d ago )

1. It's not a country of 'billions' of people. It has a population of around 1.4 billion and obviously, it's a fairly small percentage of people that actually play video games

2. Neither PS4 or Xbox One are selling 'well' in China. Chinese gamers primarily play on PC or mobile because they're more into the freemium model over there.

ZhugeEX3128d ago

GreatGamer is right on this one.

Consoles haven't really taken off in China because they've never really been part of the gaming culture there. There was a grey market before but it was never big or anything.

Microsoft lost money during their first quarter there as you would expect from any company gearing up to launch a product in a market where they hope to grow.

Even Sony made a loss (smaller than MS) despite being the leader in sales there.

Basically these two companies hope to develop the console market in China so that one day it can become as big as some other markets. But for now it's still a tiny portion of the market.

For example. It's only estimated that the install base of PS4 + XB1 in China will be <600k by the end of this year which is tiny when you compare it to the UK for example which will shortly have an install base around 5m at the end of this year.

S2Killinit3128d ago

Yeah i thought there was more than 2 billion but its 1.3. Still though, thats a lot of people. Last i heard the PS4 was doing better there than xbox there but the market there didnt make the impact a lot of people expected including myself. I figured there would be more sales there.

Concertoine3128d ago (Edited 3128d ago )

It isn't just a matter of how many people play games, but a matter of how many:

1. have the disposable income to buy a (very expensive after tax) console

2. aren't already hooked on PC after 15 years of no consoles

Ikki_Phoenix3127d ago

still ps4 is selling way more better than the xbox at no loss

Player1243127d ago

Yeah, China's console market isn't that strong.

dcbronco3127d ago (Edited 3127d ago )

Concertoine there is plenty of disposable income there. IPhones cost far more in China but sell millions of units. The Chinese middleclass has more people than the US has people. The Chinese just don't like consoles. We know, based on th number of Chinese phone manufacturers alone, they love cellphones. Microsoft and Sony will continue to lose millions there until they compell the people to buy consoles.

Apple made several billion in profit in China. It ain't a money issue.

Added info. The iPhone 6 pre-orders sold out in 12 hours in China. The Plus sold out first. That phone cost over 1,200.00 there. More than twice the cost of the consoles.

+ Show (3) more repliesLast reply 3127d ago
Kribwalker3128d ago

Neither console is doing well as they are both too expensive for the average person out there. The avg yearly salary in China is $4700 and the price of a ps4 is $470 and an Xbox is $500. That's 10 percent of the yearly salary.

omegaheat3127d ago

Thanks for the statistics, but I highly doubt the consoles cost that much in China. If so,I can definitely see why they've only sold a hundred thousand consoles. They always seem to pay less for imports there or they will find a way to work around it by creating a knock off product that may play pirated software. I'm sorry, but that's truthfully how the country works. China will never help the market as long as they keep breaking trade rules.

madmonkey013127d ago

yet the xbox one is made in china for a fraction of that price

Godmars2903128d ago

The bulk of whom work under what could be considered slave conditions making merchandise they can't afford with what they are being paid.

hellothere19773127d ago

Those "slave" conditions are the reason people in the western world can pay $500 for a top of the line 60" hdtv.

You should really stop laying into the "atrocities" of chinese abuse, when your insatiable desire for dirt cheap goods is what fuels those "inhumane" conditions.

You seriously think you'd be able to afford all your toys and gadgets if you actually paid the countries fair value for the goods they produce? YOU ARE ABLE TO GET YOUR YEARLY IPHONES/HDTVS/CLOTHES DIRT CHEAP BECAUSE SOME OTHER COUNTRY'S PEOPLE ARE BEING EXPLOITED.

Godmars2903127d ago

Yes. TV and other consumer products would cost more, but they'd likely would have to be more reliable, more durable, by default of being more expensive. Of the market being less leaning towards disposibility.

Likewise those jobs would not have left the country. Moved from first world to third world economies. Those domestic workers would be getting paid much more than foreign ones, profits would be tighter, execs hopefully would be unable to stack decks well unfavorably in their favor and who knows what all else. Good or bad.

fermcr3128d ago ShowReplies(2)
3128d ago
lxeasy3128d ago

They sold 100 thousand at launch, they haven't updated those numbers however. Which might mean sales are probably no that great right now.

DemonChicken3127d ago (Edited 3127d ago )

@ S2Killinit

You think the country with billions of people are well off enough to buy a console?

Many parts of China is still not developed and are very poor or traditional (not up to date with tech)

and per article shipped not sold

"As we read in GearNuke; Microsoft shipped 100,000 Xbox One units at launch last year but Microsoft have refused to update this figure leaving PlayStation 4 having sold more units than the Xbox One in China due to its considerably cheaper price."

ToxicSushi3127d ago

How does this garbage get approved. Title should read "Sony and Microsoft fined by China for breech of rules" Second paragraph of the article:

"Both of the companies were fined a total of ¥200,000 which is equal to $31512.69 for failing to report to antitrust regulators that the joint venture had reached a market share threshold that usually requires disclosure to the government."

Ugh.

MaxKingoftheWild3127d ago

It's very clear they aren't talking about sony and Ms. They are talking about Ms and their business partner.

ChristopherJack3127d ago

How do comments like yours get approved? Sony wasn't mentioned once in the article, it was Microsoft's business partner, Shanghai Oriental Pearl Media co.

Seriously, at least learn to read before attempting to criticize others. I hope you feel ashamed for your ignorance & stupidity, you really, really should.

Ugh.

Xavior_Reigns3127d ago

Attempt at spin FAILED.

Stop eating that foul sushi, its obviously gotten to your brain. By both they mean Microsoft and Shanghai Oriental Pearl Media.

ToxicSushi3127d ago

Okay my mistake! I read it a different way but see your point. Peace!

+ Show (2) more repliesLast reply 3127d ago
Retroman3127d ago

The key thing is (what specific ) rule did Shanghai oriental pearl have with Microsoft to breach.

until we know all we can do is speculate .

christian hour3127d ago

Nothing new here, Xbox Division has always been in the red since day 1, unless this has changed in recent years? A loss of 2.75 million isn't going to hurt or effect their goals and strategies.

+ Show (8) more repliesLast reply 3127d ago
TwoForce3128d ago

China always on PC gaming. That's kind of bad, i hope Sony and Microsoft break in sales marketing in China market. Otherwise, it's over.

keegamer803128d ago

Piracy rules in China. It will be a long time before either brand officially gathers any kind of momentum.

TheCommentator3127d ago

I thought of the irony surrounding China sueing MS for breach of contract. China has stolen hundreds of products from the rest of the world over the years and manufactures the knockoffs as if they own them. They steal everything, including cars from major manufacturers, and noone can do a thing to stop them. What a bunch of hypocrites.

XeyedGamer3128d ago

Xbox just can't catch a break.

voodoogts3128d ago

It's okay. Majority of the people have a PC and game on it. Also that majority of PC owners there (98%) are running Microsoft Windows. So Microsoft is doing just fine at China.

MasterCornholio3127d ago (Edited 3127d ago )

Don't you mean Valve?

As far as I know Microsoft doesn't make anything off PC games unless you buy it through their store.

Xavior_Reigns3127d ago

LOL

Damage control to the ring, tell me MS sent you a check at least.

Revengeance3127d ago

MS doing fine in China?

Thanks for the joke. I needed that.

voodoogts3127d ago

Its true. They population of China that has a PC is using Microsoft Windows. So Microsoft is doing just fine.

Revengeance3126d ago

Really so how much money are making off of all those people using Windows in China? How much money do they make off the games being played in China?

voodoogts3126d ago

Tons of money. Remember each game requires you to run this game on a Microsoft Windows platform. So for every person that has a video game on a PC has Microsoft Windows installed.

Revengeance3126d ago

How do you know those Windows OSs aren't pirated? And you never answered my second question.

+ Show (2) more repliesLast reply 3126d ago
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300°

Microsoft Survey Asks About Handheld

A new survey from Microsoft has further hinted at the possibility of an Xbox handheld being in development.

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twistedvoxel.com
EasilyTheBest3d ago

This is definitely happening, I just hope they have 2 versions one with a much bigger screen.

GamerRN3d ago

I'll be happy with this, and a PC console hybrid that rivals anything we have power wise

Number1TailzFan3d ago

The problem with bigger devices is playing them on your side in bed, Vita and before that was fine. Since the Switch you gotta have a gooseneck holder & controllers detached so you can lie down holding them, or your arm will quickly get tired.

1Victor2d ago

@thesofware: “A much bigger screen than what?”
A gaming laptop 🤷🏿🤣

Kosic2d ago

Than the screen originally planned...duh... :D

darthv722d ago

it kinda already did... https://www.xbox.com/en-US/...

They are just gauging interest in one of their own.

crazyCoconuts2d ago

A Xbox version of Logitech G-Cloud?
I mean, why bother? Not like the G cloud is flying off shelves and what would Xbox add to make it better?
They're surely not going to create bespoke architecture here and there are already a few Windows handhelds out there. I have little confidence in their ability to put together an attractive UI in the way Steam did. So I doubt anything will come from this.

KicksnSnares3d ago

Day One buy for me if they'll make a dedicated handheld device.

darthv723d ago

i have that logitech g-cloud. Its a sweet little piece of kit. I like that it can also install games from the play store unlike the other android based handheld.

mudakoshaka3d ago

It sure is! Don't understand why you get the down-votes. Whoever does not like the G Cloud must have been dropped down a well, head first, when they were of a younger age.

PassNextquestion3d ago

I wonder if Microsoft will perform better in Japan if they do actually make a handheld since everyone says handheld and mobile are king over there.

TiredGamer3d ago

This looks like the future of the game industry... all three platforms with a handheld option.

I wonder if the Playstation Portal is a technology test-bed/prototype for a future Playstation handheld?

rlow13d ago (Edited 3d ago )

It’s a possibility but I can’t help but think would that be the best way to go about it? Though it would give you data on how much it is used and game type. It’s still not a true portable device and so people approach it differently. I think that data on phones, tablets, and of course the competition would give a better indication.

But I really think if Sony is considering a new PSP that could play ps5 games, now would be the time to dive in. Honestly, if they do this, it would be huge.

Traecy3d ago (Edited 3d ago )

Doubt if Sony PS wants to support a new handheld with first party games. Something they lacked with the Vita. What they should do is have a handheld that is like the PS Portal which can play all games but play those games on the go as well as at home. Something like that is a better investment.

TiredGamer3d ago

Agreed that you will probably never see a separate line of games specifically for the handheld (a la PSP or PSVita). The modern economics and expectations of game development make that cost prohibitive. What makes more sense is if the full-fat game on PS5 or PS6 has a special "handheld" profile that is automatically optimized for the lower spec handheld. There would be some significant compromises compared to the bigger console variant, but it would be the same game overall and would only require a single purchase.... somewhat what the Switch does with a lower resolution when playing handheld versus docked.

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310°

Xbox Games Showcase Followed by [REDACTED] Direct Airs June 9

- Xbox Wire - Mark your calendars! The Xbox Games Showcase followed by [REDACTED] Direct airs June 9. More info inside.

Read Full Story >>
news.xbox.com
bionicstar3d ago

Will they show Fable 4, Stalker 2, GoW 6 & Perfect Dark?

PhillyDonJawn3d ago

Crossing fingers for Fable and perfect dark. And State of Decay 3

RaidenBlack3d ago (Edited 3d ago )

And maybe Clockwork Revolution, South of Midnight, Contraband, Project 007 & OD? lol
and whatever happened to Everwild ?
+ that rumored Wu Tang RPG

Sonic18813d ago (Edited 3d ago )

Will they have official release dates and gameplay?

anast3d ago

Another game pass event with their plans to go all streaming.

3d ago
Lightning773d ago

It's an Xbox showcase that they have every year.

Make smarter comments for once.

anast3d ago (Edited 3d ago )

Tell me what a smarter comment is.

If they don't sell game pass the entire time, then I will be wrong. All of this can be proven once the show gets underway. Let's wait and see.

InUrFoxHole2d ago

@Anast
Anything you didn't type. Good day sir!

3d ago
3d ago
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3d ago Replies(1)
Lightning773d ago (Edited 3d ago )

Wow too easy.

You went from MS going all streaming to selling gamepass content in which we all know they are.

Which one is it?

Pretty clear you don't know what a smart comment is at least you admit you don't know.

3d ago
anast3d ago (Edited 3d ago )

"Another game pass event with their plans to go all streaming."

It's both. I would worry about your own intelligence at this point. It seems that there is not enough to go around for you to worry about how smart other people are.

Lightning773d ago

It's just a regular event announcing games. Nice one captain obvious they're gonna mention gp stuff like they do every year what else is new.

The all streaming part is just you, being you I guess. They have streaming options but going all streaming again is just you pulling stuff outta thin air.

anast3d ago

You don't know what a smart comment is or isn't. You're welcome for the help.

Lightning773d ago

No you said something dumb then you tried to back track and mention GP.

Again make smart comments for once.

anast2d ago

And we have broken record syndrome.

+ Show (6) more repliesLast reply 2d ago
darthv723d ago

Wonder if they will address the handheld rumors....?

jimb0j0nes3d ago

For a brief moment I thought we might get a whole Direct for Gears 6 - seems like it's COD though!

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290°

Microsoft’s Surface and Xbox hardware revenues take a big hit in Q3

Microsoft just posted the third quarter of its 2024 fiscal financial results. The software maker made $61.9 billion in revenue and a net income of $21.9 billion during Q3. Revenue is up 17 percent, and net income has increased by 20 percent.

Read Full Story >>
theverge.com
darthv728d ago

Xbox content + services up 62% while hardware down 31%... seems about right with the way they tout you don't need the hardware to play. People can play on their phones or smart tv or other means. I don't hardly play on my consoles directly since getting devices like the logitech g-cloud and ps portal. Which is to also say I have been playing more digital than physical because of these devices.

solideagle8d ago

you should apply in MS PR team buddy, I think you will do a great job in my humble opinion :)

Sonic18817d ago

I thought darthv72 and Obscure_Observer already work for Microsoft 🤔

dveio7d ago

MS: "Xbox services and content without AB up 1%, with AB up 62%. Hardware down 31%. In total a loss of 350 mill."

darthv72: "Seems about right."

MS: "Excuse m ..."

darthv72: "I don't hardly play on my consoles directly."

MS:

Lightning777d ago

What he said was facts. How he plays games is no concern of you. Don't get too mad about it.

Cacabunga8d ago

I can tell people like you are an absolute minority..

If service is up means their fans and fanboys accepted this model and subscribed to it. The near future you will see a big decline because the service is saturated.

darthv727d ago

to you it may seem like the minority... but your bubble is shrinking because more and more are following suit. convenience is a hell of a drug and its also why physical sales only amount to 30% of overall game sales. times are changing, you either get with them or you get left behind.

neutralgamer19927d ago

Darth

30% physical sales: yet Phil and xbox division are in a rush go give up on that 30%. they don't have any right to give up any piece of the pie since the control such a little of the pie to begin with

also, the market is clearly speaking that the model Xbox is pushing isn't working right now the keyword being right now. you are right about freedom to play anywhere so i hope they put their games on steam

shinoff21837d ago

But that's been ms for years. When things aren't going their way they try to change the way things are said. For instance console sales are down, they stop telling how many sold instead telling us how many hours spent in halo or headshots. So it makes sense console sales down just say people are playing on more devices then previous. What they won't say is how many xbox players jumped ship to ps5.

Cacabunga7d ago

Hardware sales are so bad that Sony and Nintendo are blowing the sales off the water with their hardware.

If Xbox are losers, others aren’t..
Xbox already tried everything with Xbox live then subscriptions went down so much that they had to find something else. Their fans subscribed then reached saturation rather quickly.

Hardware and exclusive games is where it’s at! Keep gamers excited, announce decent software and people will support you

itsmebryan7d ago

@shin
Well keep it simple Sony 's operating income is down 26% and Microsoft's is up 32%. No MS spin there, just facts. 😉
Cheers

S2Killinit7d ago

MS is after diminishing consoles as a medium. They want to destroy this market because they couldnt win. MS’s vision is to dissolve console gaming.

romulus237d ago

Odd that a company that touts you dont need the hardware to play is already touting another console in the works.

darthv727d ago

They are not reliant on the HW but still want to maintain a presence (no matter how small) is a good thing. It shows commitment to the craft. It reminds me of SNK and how they made games for their own hardware (Neo Geo) while also making them for others because they knew there was a market to do so. They knew they would sell more to others but also sell to their own niche fan base.

TheEroica7d ago (Edited 7d ago )

Perfectly reasonable post down voted by insecure corporation friendly folk.... But not gamers. Real gamer want accessibility and ease of acquisition for all.... Company shills are the only ones still telling us that hardware locking people from games is good for us.

Chevalier7d ago

@Darth

You should stop parroting metrics like an idiot without context.

"Xbox content and services revenue grew 62% in Q3 from a year earlier, “driven by 61 points of net impact” from the purchase of the third-party video game giant, Microsoft said."

61 of the 62% was from their merger so net increase is ONLY 1%

https://www.mesaonline.org/...

itsmebryan6d ago

@chevalier

It looks like made a great purchase. Much better then Sony buying Bungie. 😉
Cheers

+ Show (4) more repliesLast reply 6d ago
purple1018d ago

Xbox hardware revenue tanks to lowest point of Xbox Series generation

Profchaos8d ago

I'm not surprised surface is struggling they aren't relevant anymore

DOMination-7d ago

In the last two years they've started exiting the consumer market altogether. All of the newest Surface products are business models only. They can't seem to work out what they want to do with it.

XBManiac8d ago

Too expensive hardware when others offer the same or more for less? Good work, Green Team.

SimpleDad8d ago (Edited 8d ago )

"Despite some early successes for Xbox games on rival platforms, Xbox hardware is down by a massive 31 percent this quarter."
"Without Activision Blizzard, Microsoft’s overall gaming revenue would have actually declined this quarter."
"Xbox content and services would have only been up a single percent without Activision Blizzard..."
"It looks like next quarter is going to be a similar story for gaming at Microsoft, too."

That is crazy... so A/B/K is carrying the whole Xbox gaming.
Oh and Microsoft will be fine. Windows, Office and Cloud are growing with each pc purchase.

purple1018d ago

Activision: "we gonna need a bigger rucksack/backpack please"

Microsoft: "why's that"

Activision: "to carry yo' weak ass'

Profchaos8d ago (Edited 8d ago )

Top brass have also wanted to start seeing returns on the 100 billion they have put into various Xbox related moves so seeing more multiplatform games is highly likely especially from abk

It's basically saying that PlayStation is the reason Xbox is afloat right now thinks to Ps5 versions of COD

Kornholic7d ago

So basically PS and PC gamers' money is keeping Xbox on life support.

MrDead7d ago

The only growth MS will get out of the console industry is if it supports it's rivals platforms. Xbox is a pointless machine now. I can see them on a big push for live next, and they won't give up on trying to buy Steam.

+ Show (1) more replyLast reply 7d ago
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