> This generation, the xbox one hardware is being sold for profit. IHS estimates the Xbox One's BOM + manufacturing cost = $471. Add in the retailer's margin

> This generation, the xbox one hardware is being sold for profit. IHS estimates the Xbox One's BOM + manufacturing cost = $471. Add in the retailer's margin plus the cost of the retail supply chain, and Microsoft is probably selling the Xbox One at a small loss. They'll make their real profit on the games. As will Sony.