4 ms·
Not disagreeing but remember > Microsoft Corp., the world's largest software maker, loses at least $153 (U.S.) on each Xbox 360 video game console it sells, ba
by infotogivenm 4y ago
Not disagreeing but remember
> Microsoft Corp., the world's largest software maker, loses at least $153 (U.S.) on each Xbox 360 video game console it sells, based on just the cost of components and assembly, a research firm says. Parts such as processors and manufacturing cost $552.27 for each machine that retails at $399, El Segundo, Calif.
With this context it doesn’t surprise me they try to recoup something on each optional hardware upgrade.
- chronogram 4y agoWhen was that? Because at the start of the console your chip might be a cutting edge and incur massive costs, but cost a tenth to produce once it goes from cutting-edge to practiced.
- Someone1234 4y agoRight, but the above figure is under-shooting if anything since it budgets $0 for software development. Microsoft definitely charged a premium for accessories, seems like a classic price discrimination, wherein the richer consumers were subsidizing the cost of the console (and its development) for poorer ones.
- infotogivenm 4y ago2004, early days