Entertainment and Devices Division sees a 47 percent increase in its annual operating loss, thanks to $1.06 billion in warranty-extension costs and slowing 360 sales.
Besides decreased Xbox 360 console sales, the EDD's fourth quarter suffered a catastrophic blow when then-Corporate Vice President Peter Moore announced a three-year extension of the Xbox 360 manufacturer's warranty. Today, the company confirmed it took a $1.06 billion charge as a result of the unprecedented move, causing operating losses for the quarter to tally a massive $1.2 billion--a staggering 183 percent year-on-year increase. The company said the loss was lessened somewhat by "decreased Xbox 360 console manufacturing costs" and "increased Xbox accessories and video game sales."
Plenty of unforgettable games have completely messed up their players throughout the years, all the way back from the PS1 days to the dark recesses of the modern internet.
With so many games fighting for players' attention and interest losing out over time, time sink games are at risk of eventually losing steam.
It was worrisome to begin with.
It's a niche genre with only a handful of hits that can stand the test of time.
I like the sound of that!! I will for sure never support these gaas games.
Sony must be shocked at gamer's reaction, making them cancel a few of these and hopefully go back to the good heavy hitters they had us used to..
now bring on that PSPro reveal and show us some SP 1st party awesomeness.
It's pretty ridiculous.
Imagine having a breadth of data at your disposal to see the statistically low success rate of these games, only to be laser focused on the exceptional case studies.
Only a few will catch on. You need a perfect storm to be successful in GaaS and a bit of luck on top of that. But a potential cash cow will keep them trying and some will go out of business because of it.
Helldivers 2 manages just fine…
Keep production costs low… don’t just make custscenes until the mechanics and enemies are perfected first.
Make so much content that you can drip extra content for years, and the game already feels complete without them.
Most importantly: make weapons, enemies, levels, and mechanics that will stand the test of 1000 hours. This might require more devs embracing procedurally generated leveled, which I think separates Helldivers 2 from Destiny’s repetitiveness.
Nameer from eXputer: "Some exceptions aside, I don't think the battle pass is a net positive for gaming with how they're implemented in most live service titles."
I like the way Helldivers 2 does battle passes. It allows you to make purchases on each level of the battle pass and gives you the option of choosing which item to unlock first. The more purchases you make using medals the further you progress. There is no timer and you can earn medals towards purchasing stuff via personal orders and Major orders.
I haven't played much live service games that have battle passes but I remember some games that have battle passes where you progress through it linearly using an exp system. What makes it really bad is that the battle pass will have like 50 or more levels with the cooler stuff being closer to the end. They also have an in-game shop that sells exp boosters so you can reach the end of the pass before it refreshes. Everyone ilse will have to grind their way through.
battle pass in fortnite is perfect; buy one and it buys the rest for every other season as it gives you more money than the first cost. so 8.50 and season ends with you getting 13.00, it pays for the next and you have some pocket change to save up for cash shop. All of which is optional
Vista that saved them in their 4th quarter.
inb4themassivebashingoffanboys
@PS360Wii
But nobody wants to waste millions (worst billions) on a console that has been around for quite some time and keep on losing money too just make a warranty or anything in particular on it. They want to gain lots of profit, not lose a whole bunch of the profit and win just a few if not anything at all.
Sure companies that make hardware devices tend to have these situations were there product is in need better there standards but they don't expect to lose a billion on fixing some errors.
That's why tests exist. The 360 was just rushed to the stores because MS wanted to be way ahead of the PS3. Which is a great idea for any company who does this, but if you don't make extensive tests of your products first, these situations tend to happen in a great loss. I never heard any news of the original Xbox having problems and it's because they stood there peaceful time testing what became a great console with hardly any defects.
MS just needs to be more alert on these things for next generation same as the Sony with there price. (But that's another story)
edit* Damn I can't belive I lost all my bubbles and I don't post anything fanboyish.....
Did MS ever make any money on the first Xbox?
What did the total number add up to there in dollars.
$1.89 Billion in debt!!! I don't care if microsoft can afford it, no-one in that company will be happy about that. Will xbox 360 even make a profit? In all seriousness, on the whole microsoft does not know what they are doing when it comes to games. If they did, they would have made a profit. That IS the name of the game. They were in debt with the xbox 1, they have a $1.9 billion debt with the 360, i mean what the hell? If this were any other company, they would have cut bait and taken a hint a long time ago. It comes down to microsoft views the gaming industry like they view every other avenue of other industries: See what makes alot of money, copy it, buy everyone out...they don't EARN anything for themselves which is something Sony and Nintendo have respectfully done.
$2 billion may be a drop in the ocean or whatever for microsoft but its incredibly noticable to their business and shareholders. I think there was more to Peter Moore leaving then 'family problems'. And its quite the mess you've left the xbox 360 division in isn't it peter?
Maybe words won't do it, a picture may do instead:
Introducing...Microsoft's business model
The article where they say MS made money this quarter and XBOX 360 fanboys are already jumping up and down.