Comments 17

Re: Xbox Game Pass Annual Revenue Nears $5 Billion For First Time, Says Microsoft CEO

dodgykebaab

@GamerScore200K

Revenue is not profit though. People need to stop being conned by corpo speak.

I could sit here and say that GamePass is actually a loss making business.

I dont expect you to take my word for it but you can work it out yourself:

How many studios does Microsoft run? If each AAA game costs aprox $100 million to create (that's a low ball figure!); then studios x game cost = Development costs

Then divide that figure by 6 because each game takes aprox 6 years to make and this gives us our yearly "T cost" figure.

Then Google:
"how much does microsoft pay 3rd partys for games on game pass"
and you'll see the answer to this question is a bliion dollars.

"T costs" + $1 billion = Total game pass costs

Then see if that figure is more or less than the $5 billion revenue figure.

I already ran the numbers so I know the answer.

Re: How Microsoft Managed Xbox Brand 'Is Not My F**king Fault', Says OG Xbox Creator

dodgykebaab

@SMJ You've missed the point completely.

Of course their figures are the best ever, they pumped $80 billion in. That's how value is worked out!

The actual test of sucess is if the same level of growth is seen in the next set of figures.

Because if not, then clearly "The best ever year" was actually articfially inflated by a cash infection and not because of business growth.

Re: How Microsoft Managed Xbox Brand 'Is Not My F**king Fault', Says OG Xbox Creator

dodgykebaab

@Kaloudz Xbox is the strongest it's ever been?

Exclusive games are no longer exclusive, the hardware is selling the worst it ever has and the future for the entire platform looks in doubt.

How on earth is this the strongest ever?

Do you understand that the entire platform business is centred of that 30% cut Xbox gets from each game sale right? Sure they get some money from subscriptions but their goal was 100 million by 2030 and there is no way of reaching that now.

Once the 30% cut is gone then entire platform is dead and Xbox becomes a 3rd party publisher like Sega or EA.