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Posted 2003-10-02, 04:19 AM
in reply to Kuja`s #1's post "GameCube down to $99.99"
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Sqrl said:
Show me your evidence that Nintendo is profitting from GameCube consoles first. I'm not going to defend my statements before you bother to do so with yours. =)
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I've heard cost statements of anywhere from 100 dollars to 200 dollars apiece for the production of a Gamecube. No official statements, just heresay. With the recent markdown of $99, no, they're not makiing any profit. But, according to the things I've heard previously they have been turning at least a minor profit for the last few years.
Sqrl said:
And what does the fact that Microsoft has no high selling games for the X-Box have to do with anything??? In the video game industry, as I said, companies take a loss on the console, and make the money off their games because they are able to produce them cheaply when compared with the markup and the quantities. If Microsoft is losing money, it's due to poor business habits such as making a system that costs so much to produce that they have to take an above average loss per console to actually get a user base, and then not having enough high quality games available / not marketing them effectively along with any other number of factors.
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You just said the exact same thing I said only with more bulk. Microsoft is losing money because they are taking an abnormally large amount of damage on console costs and the poor software sales are only adding to the damage. That's exactly what this statement says:
Raziel said:
Not when you're losing 400 dollars per console (like the XBox) and you have no high-selling games to make up for the losses.
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