News Xbox

Microsoft Loses Over $400 Million on the Xbox One

Listen to this article

Though things have been looking better lately for Microsoft’s Xbox One, the latest financial report from the company shows that there is still a lot of ground to recover. According to the report, Microsoft has lost well over $400 million on their current-gen console.

While they managed to sell 11.7 million consoles (both Xbox One and Xbox 360) in the fiscal year of 2014 which lead to a revenue increase of $1.7 billion, this was offset by the $2.1 billion they spent on the production and advertising of the Xbox One.

This is obviously bad news for the company but it isn’t exactly a dire situation just yet. The console has been gaining traction ever since its price was lowered to $399 which has put it on equal competitive ground with Sony’s PlayStation 4. We also have to keep in mind that the XBO hasn’t even been out for a full year so there is plenty of time for MS to rebound from these loses.

Source: The Independent

%d bloggers like this: