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Things that Make me go Hmm

February 14, 2010 13:41:49.215

I ran across this chart os Microsoft's revenues, and the line for "entertainment and devices" struck me:

It makes it clear to me that the XBox was a loss leader for eons, and is only now starting to show a (small) profit. In the grand scheme of things though, it makes me wonder - just how much does that division matter to Microsoft? When things start getting hairy for them (as I expect they will) - what will they decide? If I had to guess, if and when that time comes, it'll be a group that might be spun right out of Microsoft...

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posted by James Robertson


Re: Things that Make me go Hmm

[W^L+] February 17, 2010 15:20:51.140

What stands out to me is that all these years of pouring billions into their online businesses (and used it as the MSIE homepage), that division is still not making money. That's the division that needs to be spun off and made to stand on its own.

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