The Xbox 360 Will Still Live On Until 2016
Posted by Anthony Bacchus
Continued support for aging console with over 100 games
Yesterday, we finally got the released date locked down for the Xbox One and it's crunch time for Microsoft on making sure each of the 13 confirmed markets have enough shipments on day one. You can read our in-depth thoughts on the November 22nd date right here. But what about those people who aren't rushing out to buy Microsoft's next-gen console, who feel the price tag is too expensive, and would rather continue snuggling up with their current Xbox 360?
As is the case with previous console launches, Microsoft isn't saying goodbye to the 360 just yet. In fact, Xbox Chief Marketing and Strategy Officer, Yusef Medhi, thinks the console has another three more years left, pointing to an astonishing 11 year cycle in 2016. The Xbox 360 continues to be extremely profitable for the company since its release in 2005 and ceasing support on it wouldn't be a wise business decision.
"You've seen us over the years constantly be focused on profitability and improving year over year," Medhi said. "There are different points in the cycle of when you invest in new hardware.
"If you look at 360 that platform lasted for seven to eight years and it's going to go for another three years. It's incredibly profitable now in the tail.
"Some of these things take some time in the launch year in which you invest, and then they they play out over time."
"We're going to continue to invest in Xbox 360, and the two devices can work in concert. So it's not like the day we ship Xbox One your 360 won't work. We'll continue to support it."
Yusef Medhi also points to the success of Xbox Live as an ongoing revenue stream and that over 100 games are still in the pipeline for Xbox 360; It's safe to assume that they will be a combination of retail and digital titles.
The transition between current gen and next gen is always an awkward period for any gaming company. Even though Microsoft and Sony will heavily market their new consoles this holiday, they also understand that the user bases for the 360 and PS3 are at an all-time high. By ensuring continued support for the Xbox 360, Microsoft can sustain their Xbox Division during this transitional time.