Monday, January 19, 2015

Microsoft drops Xbox One price to $349 Taking Big Losses

I don't usually cover other companies than Nintendo, but I thought this story was interesting. After Microsoft did a "test run" of price cutting the XB1 for the holiday's, they did so well in outselling PS4 by large margins, that now it seems they would like to keep the price at $349. By doing this, they will be taking pretty big losses of money on the hardware sales and while games might make some of that back like Rich says in the video, it's hard to justify in my mind to take heavy losses on a product. I guess that is why Microsoft is who they are and Nintendo is who they are. Nintendo was taking a small loss on Wii U during it's first year on store shelves, but most likely not as much as Microsoft is now taking.

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