Manufacture of Xbox may slow down or stop

#11GeistPosted 4/25/2014 6:37:04 AM
Aceviper posted...
you should probably read the article yourself first

it states that they had a huge decrease in gross margin thanks to the Xbox One

and now they might have to cut down production


Revenues for Microsoft's Devices and Consumer Hardware division for the quarter reached $1.97 billion -- a 41 percent year-on-year leap from the $1.4 billion it did in 2013.

That jump is powered, in part, by 45 percent higher Xbox platform revenues year-on-year -- relating to the increased price of the Xbox One console at retail. It's also more expensive to make, though. CFO Amy Hood's statements to that effect last quarter are borne out by these results: Cost of revenue jumped 70 percent for the division, and a big chunk of that is thanks to the Xbox One. That being so, gross margin for the division decreased 34 percent year-on-year.


You seem confused, so I posted the whole thing so you could read it better. So while what you posted is there, it's not as doom and gloom as you seem to think. Cheer up.
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#12PoweredMilkManPosted 4/25/2014 6:39:21 AM
Geist posted...
Aceviper posted...
you should probably read the article yourself first

it states that they had a huge decrease in gross margin thanks to the Xbox One

and now they might have to cut down production


Revenues for Microsoft's Devices and Consumer Hardware division for the quarter reached $1.97 billion -- a 41 percent year-on-year leap from the $1.4 billion it did in 2013.

That jump is powered, in part, by 45 percent higher Xbox platform revenues year-on-year -- relating to the increased price of the Xbox One console at retail. It's also more expensive to make, though. CFO Amy Hood's statements to that effect last quarter are borne out by these results: Cost of revenue jumped 70 percent for the division, and a big chunk of that is thanks to the Xbox One. That being so, gross margin for the division decreased 34 percent year-on-year.


You seem confused, so I posted the whole thing so you could read it better. So while what you posted is there, it's not as doom and gloom as you seem to think. Cheer up.


yea, they are doing pretty well off.
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#13cheezedadadaPosted 4/25/2014 6:39:41 AM
unreal_jax posted...
Its neither good or bad, just means they over anticipated the demand.


Pretty much, but some people wish for the brand to fail. Its not going to happen though, so its an exercise in futility.
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#14Aceviper(Topic Creator)Posted 4/25/2014 6:39:54 AM
you seem confused yourself

gross margins going down is a bad thing. Revenues going up doesn't matter when the costs to obtain it is much higher than what the revenues went up by. It might be good only when the costs incurred can be used to sell the product in the future, but cutting down production kills that line of thinking
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#15DOWBLACKNINJAPosted 4/25/2014 6:53:37 AM
Aceviper posted...
you seem confused yourself

gross margins going down is a bad thing. Revenues going up doesn't matter when the costs to obtain it is much higher than what the revenues went up by. It might be good only when the costs incurred can be used to sell the product in the future, but cutting down production kills that line of thinking


Smh. Just take your lost, lick your wounds, regroup and try again later
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#16carljenkPosted 4/25/2014 6:53:43 AM
WOW this is BAD news.
#17Krazoa2Posted 4/25/2014 6:56:20 AM
Geist posted...
<You seem confused, so I posted the whole thing so you could read it better. So while what you posted is there, it's not as doom and gloom as you seem to think. Cheer up.


When **** companies do so well by selling **** products, it sounds pretty doom and gloom to me.
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#18IzraeilPosted 4/25/2014 6:57:41 AM
MS should help Sony produce more PS4s to meet demand.
#19IzraeilPosted 4/25/2014 6:58:39 AM
[This message was deleted at the request of a moderator or administrator]
#20Skynet82997Posted 4/25/2014 7:00:00 AM
It's funny to see who's in here screaming doom and gloom.

It's exactly who you'd expect.

This board is a cluster-**** of hate and animosity. Just completely absurd to the point of being comical by now.
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