Microsoft Chairman and Chief Software Architect Bill Gates (R) greets President of Entertainment and Devices Division Robby Bach during the keynote address to the 2007 Computer Electronic Show in Las Vegas January 7, 2007. Microsoft announced several new products and services that include new Windows Vista-inspired PCs, never-before-seen Windows Vista features, an Internet Protocol Television (IPTV)-enabled Xbox 360 video game and entertainment system, and a new partnership with Ford Motor Co. that will extend digital experiences to the car. Photo by Lee Celano/Microsoft Corp.

Xbox 360 expected to profit Microsoft by next year

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File this under news that you just can’t keep a great console down. In a recent interview with eWeek.com, Robbie Bach was quoted as saying that things are on the up and up for the Xbox 360. In fact, he fully expects to see everybody’s favorite box of joy — with the highest attach rate of games in console history — to net Microsoft a nice profit starting in 2008. Don’t believe us? Read on:

So, it’s a business that will be profitable next year—we’ll make money next year and that will be the first time, which is pretty exciting. And then the next two or three years are the place where you need to make tracks, and the next two or three years are where you have to make money.

As everybody knows, getting beyond the magical break even point off the hardware itself is difficult, at best. Maybe Microsoft and Sony should take a page from Nintendo’s book, since they obviously know how to squeeze out some cash from near about everything they make.

In other news, Nintendo figured out how to bring consoles out of the gate that print money. Never mind, if the name is somehow synonymous with underpowered hardware that still manages to mop up the competition with its simplicity, awesome controller, and oh so attractive price point.

Regardless, my bet is still on Microsoft taking home the crown, when history revisits this race. When you have an unmatched online component, a steady stream of quality games, and enough horesepower under the hood to make it purr like a kitten (all the while not costing an amount requring a credit check), things are bound to go your way sooner or later.

 


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