Microsoft: Xbox Gaming Division Now Profitable

Microsoft posted unaudited operating income for its first quarter ended September 30 of $165 million in the Entertainment and Devices Division, compared to a loss last year of $142 million.

Microsoft has been reiterating that its Xbox business will be profitable throughout this entire fiscal year, a feat yet to be seen in Microsoft's videogame business.

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Bloodmask4875d ago (Edited 4875d ago )

Halo 3 has put their Xbox division in the profitability margin. Despite what all the naysayers might have to say about the hardware.

Overall with the Falcon chipset out and a revision of the motherboard. 360 failure will be a thing of the past. And with 3rd parties using Xbox 360 as their lead platform of choice. The remainder of '07 and 2008 will more than likley be a great year for the 360.

marinelife94875d ago

Keep it up Microsoft we need you to stay in the competition to keep Sony on their toes.

unlimited4875d ago

losing 1.5 billion dollars isnt going to get them on top..and there no proof of any future 360 falcon chipset or any 360 till this day is crapping out on thousands and thousand of wont go away anytime soon..ill admit 07 they did good but in 08 i dont see no game plan from them..

I will never get the 360 until they actually come out with a revision not the type to buy a defective items because its stupid to buy somethin knowing it will break..and im not goin to keep on sending it to them to fix it because its a hassle and take up time.

ReBurn4875d ago

Losing $1.5 billion, huh? It would appear that those losses are now a thing of the past. And the 360's hardware is going through revisions. The CPU and GPU are moving to the new 65nm manufacturing process and they are including HDMI on all models to consolidate costs. And we're hearing less and less about RROD, so that problem is coming under control, too.

I don't know why people disparage Microsoft. Spending that $1 billion to own up to the RROD issue is the best investment they could have made in the situation. They took responsibility before they were sued, unlike some other console manufacturer I know of.

MANTIIS4874d ago

Until they make up for the 1.5 billion (which is actually a modest figure)that thier game division has drowned in since 2001, being in a slump is not a "thing of the past." They have only profited this single fiscal quarter-it does not make up for six years of operating in the red. Now that Halo 3 has done its biggest damage, it will continue to be a factor with each succesive quarter (but its impact will show decline each time)until it critical masses. By that time I am curious to know what games MS has in store to deliver such an impact as Halo 3, and keep themselves out of the red (especially with rising repair costs to the defective console). Lower production costs will help with the new chipset, but the 33% of the 12 million defective systems (and rising) will likely remain the most prevalent factor of a declining system, along with the inabilty to match the number of quality exclusive games of its greatest competitor. In short, this small victory of MS's most certainly cannot construed as "winning the war." Let's see where these current systems rank after the typical two year period of financial loss before console's make thier money back on software puts them. Considering the Ms's credibility/reliability (zero), and inferiority of hardware w/ not enough quality future is not hard to deduce the answer.

DeadIIIRed4874d ago

Are you talking about the console manufacturer that spent time and money to ensure their consoles quality before release? What an a**holish move by them instead of releasing a faulty system, then spending a fortune on the unofficial recall.

+ Show (2) more repliesLast reply 4874d ago
PS360WII4875d ago

Good start now for it to stay in the black.

jcgamer4875d ago

"Hoo-ray, Hoo-ray! Ding-dong, MS is outta tha red, outta tha red, outta tha red...ding-dong, MS is outta tha red!" lol...hey, good going for the MS bunch...and I'm just kidding, by the way...I'm very happy for them...

power of Green 4875d ago

WTF? that was the most rabid childish crap I'v heard in a week on this site makes rabid Sony fanboys look good. lol

Hugh Hefner4875d ago

You dont want to start losing all those bubbles now do you?

mighty_douche4875d ago

dude, why do you care so much about sales numbers and profit?

are you bill gates undercover? no..

does M$ profit effect you? no..

does M$ profit = higher quality games? no...

are you just acting like a child? yes...

this is a web sitre for game information, personally im not sure why all this sales figure crap gets approved. yay sony sold more... yay M$ sold more... that makes my live so much more important...

you act as if M$ sales are some for of personal success, when in reality you own a cheap piece of harware that plays GAMES like allconsoles, its not your girlfriend mate!!

jcgamer4875d ago (Edited 4875d ago )

now, Power of Green, lighten sense of humor? and I have been through this before...remember? and I have 9 BUBBLES so I can afford to have some fun sometimes...I happen to be a proud 360 lighten up for guys sure know how to kill a JOKE...I rep the ps-360 homie, so Power of Green, you have a problem with me anyway, now don't you?

edit: and disagree all you want, Power of Green, doesn't hurt me love, or bubbles, lost here...try don't want that beef, trust me...

season0074875d ago

nothing is better than a laugh in the middle of the day

jcgamer4875d ago

thanks bro...bubbles up for you too...


LOL, Chill... jcgamer is a good guy. He loves his 360 & is by & large is a pretty unbaised dude. He also hates fanboys on both sides. Hence all the bubbles...

LOL, He can't help it if he can't crack a good joke....


jcgamer4875d ago (Edited 4875d ago )

thanks, everyone, BLACKJACK VII is the man, for real...and knows how to tell a good joke...I thought I could get by telling a joke by now JACK, but I guess I can't...I knew it was going to be hard to appreciate both systems, without forming some enemies, but it's really tough...where's some new Mass Effect news to get me back in a good mood?!


LOL, man I don't think there is much more news they can release about MASS EFFECT. I just want to get my dirty little paws on it. Hey, if you want a good laugh, check this out:

Funny Sh!t !!!

Kuest4875d ago

Man, oh man, is it stuffy in here!

Jeez, I can't even brea- wait...

Is somebody making a JOKE. Seriously? Dude, somebody warn that guy quick... he must not know that anything funny blows up into hot air. And its way too stuffy in here.

No worries, jcgamer- I gave you bubbles. Perhaps, YOU will be the one to get to 10...

jcgamer4875d ago

sup Kuest...another guy who makes great and witty met BLACKJACK VII?...JACK, shake hands with the man Kuest...he's into Mass Effect like we fact, MORE than we are, if that's

Kuest4875d ago

I believe we met on a couple of occasions? Maybe, maybe not.

And, yes, I LOVE Mass Effect... apparently, you guys do TOO. I'm not alone.

I smell a brotherhood...

power of Green 4875d ago

Thats not funny, dude set a fanboy flame tone in here.

The comment was no different from the type of people it was suppose to knock. The guy's like Meus and Deep brown.

Lets walk into a Beauty Salon scraming "you bunch of whores shouting with GLEE..." they may not all be whores but it is sure a stupid thing to say.

I doubt somebody would say such a thing without purposly trying to express how they feel about fans of the console. Could Elite 24 gamer or I say that in a PS3 thread and get praised for it?. I should try it.

Come on Y-TF would somebody say something like that?.

BLACKJACK VII4875d ago (Edited 4875d ago )

Yeah man, I've ran into Kuest, definately a good guy. We've chatted about Mass Effect B4. Ahhhh, those were the good old dayz... we were just innocent kids then... well, peace out guys, LOL, the GF's is here & she's eyein' me like I'm in some kinda chat porno.... gotta go spend alittle QT.


LOL, power of Green, check out his comments in his profile if u r that concerned. I know him well enough 2 know he was joking... lol, maybe a bad joke.... ppl *in general* should lighten up on this site, I know I've learned to. Bubbles up 4 u Green. Peace.

Kuest4875d ago

I think its pretty obvious that jc was making a joke. So, don't get a fever over harmless comments.

Seriously, man- just let go... It's no secret that you already have enough on your plate.

AngryTypingGuy4875d ago

Yeah, I'm pretty sure he was just joking. He obviously is a Microsoft fan, look at his picture. Let him be, and if you took away bubbles, you should give them back when you have the chance.

power of Green 4875d ago

Let it go?, I leave and come back and his comment has 15 replies and you're telling me to let it go?.

lol Based on me reading his comments or post history he has shown a much larger preference for the PS3 and it was an attack posted in a way that councils its intent.

Let it go" I made on reply hours later at the time of your post. I do not base opinion due to what was said at the time, when I say something its because of the post history. Remember I'm not the one sitting by this comment for over 2 hours.

Nothing on my plate...

Hardcore fanboys I like better than somebody keeping one foot in and on foot out with preference(not you).

Have a nice day...

jcgamer4875d ago

and with that lackluster and clearly false 5th post, POG, I see you're fresh out of're ignored by 115 users...nuff'll get to 200 before I get to 10...

Kuest4875d ago (Edited 4875d ago )

what you're trying to say POG.

"Remember I'm not the one sitting by this comment for over 2 hours."

Explain to me what the hell that's supposed to mean?

Contrary to what you may think- I'm not HERE all the time, scanning over multiple posts in search of anti-MS related comments/news. That's just not my cup of tea, thank you, so I HOPE you'll excuse me if I responded two hours late. So sorry.

Anyways, POG, are you paranoid? No, well it certainly seems that way. I mean, in what SENSE does jcgamer (who has Marcus as his avatar) seem PS3 biased. To most NORMAL people on this site, it would appear the other way around. But, then again, I guess we "common folk" weren't fortunate enough to be blessed w/ your PHYSIC intuition. Dear me...

Like I said earlier, POG- let it go. You're only making yourself look petty and insecure by getting worked up about a JOKE that you (for some mysterious reason) found "PS3 biased". Who cares? Did you read the news? MS's gaming division is making a profit!

Celebrate... laugh a little.


And there's Pistol Pete. You see, POG? You should have just took a Budweiser break. It was bad enough w/ just Sony fanboys against you.

pilotpistolpete4875d ago

Hahaha! Funny stuff right there. IF this was high school, POG would be the nerd no one likes.

"Not funny guys!" says POG through his retainer.

jcgamer4875d ago (Edited 4875d ago )

lol...I should hire you to write my jokes...mine didn't go too well...rotten and bubbles up...

+ Show (18) more repliesLast reply 4875d ago
Xi4875d ago

i guess this means that MS is in it for the good.

ry-guy4874d ago

You are still going to get your idiots that claim that Microsoft is still pulling out of the console business.

According to them this is just a sign.

However, I am glad to see Microsoft finally posting profits for the Gaming Divisions. It has been far too long since we have heard that type of news.

I hope, personally, that this means even more competitive for 1st party material and we can see highly competitive system sellers on both sides of the lines. If Sony continues its downward swing (which it is, I'm sorry) than we might get stagnant. However, Sony did dominate with its PS1 and PS2 but still followed up with quality games.

Who knows. I apologize. I rambled.

power of Green 4875d ago (Edited 4875d ago )

MSFT should give up some tid bits on the fall dashboard update.

The 360 has some stellar games coming from here on out.

Mass Effect will be the start appealing to many demographics. If MSFT can market Mass Effect right this could be huge.

MSFT's Xbox 360 being a set top box for IPTV with all its HD content and features; is when we'll see an explosion of 360 sales. People will be buying 360's for games and multi media reasons still selling a game or two or 10 to the people that bought their 360 as an alternitive to other HD content sources for HDTV.

The point is we havn't seen anything yet when it comes to MSFT making money.(Companies can buy 360's straight from MSFT in bulk accourding to the info i read about the IPTV launch in Europe coming up).