“You’re asking for Nadella to walk into a board meeting and look Ballmer and Gates in the eye and say, ‘The decisions you’ve made over the past two decades are a mistake,’” said Bontempo. “That’s going to take some serious strength of character.”
Nadeau doesn’t have the clout for this, and dropping the xbox would be a negative hit for sure. While you can’t argue it isn’t making them money, it’s also not crippling them, you can’t give the consumer the impression that your literally failing. If they go straight enterprise… It be a shame, because we could lose out on much more than an xbox
I feel like this has been said elsewhere - I actually thought this was an old thread, till I saw “21 hours ago”.
I’m going to be blunt, because after this post I’m packing up and leaving work before the ice comes down.
Killing the XBox would be dumb as shit. Killing the Surface would be … somewhere between ‘dumb’ and premature. Killing bing would be ‘fine’.
Bing will NEVER be able to take Google’s market share. Just a fact at this point. Is it even beating out Yahoo?
The Surface looks awesome to me and I thought about getting one instead of the iPad Air, but ultimately fell into the Apple Ecosystem trap. M$ needs to stick with the Surface, but grow it. Look where it started and look where it is now. It needs to stop trying to compete with ‘tablets’ and grow into competition for laptops and actual ‘surfaces’. I’m not at liberty to say ‘how’, just that it shouldn’t be ‘killed’, but it’s not being handled correctly IMO.
Investors are short-cited idiots. I’m positive I wrote this before on SRK. The XBox is akin to Apple’s iPod…it isn’t the first, it isn’t arguably the best, but that’s not its true goal. It’s weed. It’s a gateway. M$ is still making great money - especially server side, but it has to grow it’s business due to competition in all the fields they use to dominate. Well one of the ‘next frontiers’ besides ‘mobile’ is home theater. Tech has made it a GREAT place, and a place where someone like M$ could make a lot of money. The XBOne is EXACTLY the direction M$ needs to go to do this. It’s meant to function as a Media Hub, the same way the old Windows XP Media Center was to function. I think it’s missing some key stuff to truly dominate - I think they should have taken their idea(s) with the HDMI in, and treated it more like ‘receiver’ with like 4 HDMI inputs to tie everything together - but it’s beside the point. My XBOne is INTEGRATED into my HT setup now. I’ve stopped using my logitec universal remote (for the most part, due to only one HDMI input, it still needs a little help every now and then), I run things using my voice commands, and its become a welcome and beloved piece of hardware. So, they’ve ‘won’ my living room. So, that gives them taxation rights on rentals, fees they can charge for Live, it means there is a better chance of me buying software from them then Sony, it means they could release future add-ons from a HT perspective, and I’d consider buying them. No, the video game division won’t outsell the OS division, but that’s not the goal. It’s not about making money hand over fist right now.
That’s what Nintendo did with the Wii, but now look at them. The Wii U doesn’t serve a huge purpose. It’s “just” a game console, and if you want “just” a game console, why not get the PS4? The goal of the video game sector is to grow business PERIOD. So long as its not a true ‘drag’, its the right thing to do.
Besides, what else are they going to ‘dump’ money into that they couldn’t do now? Mobile? So they can keep getting their butts kicked?
killing the xbox would hurt not only microsoft but gaming in general. We always need to have options imo. You need a xbox type system to balance out the ps4. No one system majority rule…wii just isnt goin to cut it as the big baddie to sony.
Xbox is the one part of Microsoft that losing money instead of making a profit. Normally with managing a huge corporation you often take a view and see what parts of the company that needs to be ax.
What the investors are saying is that Xbox is a gangrene limb that must be severed for the better health of the body.
Microsoft’s big money maker is selling software and services to big enterprise and government not the consumer market. Balmer steered Microsoft int he wrong direction for too long.
So how that Zune doing? What about Web TV? Microsoft Bob anyone? The Tablet PC MS did 9 years before Apple made the iPad? Windows CE?
All the investors is asking is to get rid of failed/money hemorrhaging projects and products and redouble on successful products and services.
There were generally third party MSFT devices predating the Zune.
A number of the products you cite were fairly early entries into fields that would later turn out to be awesome investments for others who decided to keep on pushing. (The Zune entry you cite was generally a response to some mind-breaking shortsidedness on the part of third parties who wouldn’t, you know, fix driver issues. If you had had responsive third parties back then, who knows what happens.) And most of those teams (other than probably poor Bob) left behind a positive legacy of code and knowledge from that investment that helped other projects substantially. Much as the current “bad” projects are currently doing.
I think I still have on the back of my door an article calling Tiger (a project I worked on) “one of the worst mistakes in Microsoft’s history along with Bob and Pen Computing”… but the Tiger team for one gave back I think ten major features/implementations still in use today (most visibly Windows Media Player), and the core of that team later became a bunch of partners around the company, brought you XBLA, and won an award or two for excellence in engineering.
Short-sighted alarmism is generally very counter-productive. Software is a difficult and tricky thing, and The Road Ahead can be fairly unpredictable.
Microsoft is in the growing pains stage of a company making the transition from just software to full consumer experience devices. Google/Facebook made the transition while they were still on the rise, so it didn’t affect them. Best description of Microsoft is the rich old man on viagra trying to adjust to the times.
Let’s be honest, if their prime money maker (Windows) wasn’t falling off so hard in profits, none of this would even be talked about. The investors feel they have to point the finger somewhere.
The absolute best case is to ride out their situation, push a better OS in Windows 9 to the market to redeem themselves, and by then the Xbox situation would have stabilized as well.
Bing will never reach Google, and WP will never reach iOS/Android. Surface tablets have value but the app store and ecosystem needs to catch up. Windows and Xbox is really all they have. I’ve never been a fan of their peripherals (keyboard, mice) so I don’t know if that’s been a reliable source of profits for them.
I hate it when bean counters try to dictate how a tech company should be run. bean counters always wanna make money by cutting costs in “useless” things such as R&D, which is incredibly short sighted. make money in the short term only to cripple the company in the long run. they need to get a clue and stfu. jettisoning everything is idiotic. PC market is dying and won’t come back, if msft wants to remain relevant it needs to have a good mobile and tablet strategy. surface is critical to that. it sounds like the new CEO may take the company in a direction that focuses only on enterprise level software, but I’m not really sure I agree with that. But it also sounds like Bill Gates and Ballmer will remain on the board and be doing stuff behind the scenes, and Bill Gates and Ballmer are still keen on doing something with mobile, hence their purchasing nokia.
I know the the European Commission of the European Union (actual organization’s name in the EU) been investigating Microsoft for a while for Anti-trust violations.
I wonder if any of this will impact the Xbox?
No its pretty much cuz I treat my controllers like shit. I toss them, throw them, whatever. I could care less. I’m not a broke ass nothing like you, so I can afford to go out and buy things.
I offered him a gift and he never gave me his info. I didn’t talk shit about him, he tried to grammar nazi me, failed miserably, got called out on it by myself and several others, then ran away from GD like a sissy girl and put me on ignore. I even apologized that he was butthurt. Not my fault the bitch gets PMS occasionally.
I still fail to see what that has to do with anything though. I guess when you live in a town of 16 people and your sources of entertainment are playing games so old my dead grandmother could play them, and staring at rocks, you’d have to shoot for something.
Well, not that many. A few though. Two were stolen, one went up in flames when my house burned down, 2 RRoD’d, and one of them had the video card crap out on me. I only had to pay to replace the stolen ones and the one that wasn’t fireproof.
still curious how some of you are claiming Xbox wasnt profitable:
sure thats 2011 but still, $1.32 BILLION. Yeah, lets scrap something that made us that much money. At best, you can argue that they didn’t sell as many consoles last year, but considering it’s the end of a console generation, that’s sort of expected. And you still have over 40 million people using XBOX Live, with subscription fees.
There is a big difference between being a fanboi, and being a blithering idiot. Some of you need to find that line.
Xbox is profitable, but it looks like a blip on the map compared to the revenue pulled in by MS’ other divisions. The argument is that the capital spent on Xbox could instead go to those more lucrative products/services.
That being said, I hope Xbox doesn’t go anywhere anytime soon, at least not until Nintendo finally shifts its focus to the “core” gamer market again. There needs to be at least two players in this game.
How? It used to be just Sega and Nintendo for a while. Yeah there where other consoles but they could not compete. What else where their late 80’s early 90’s?
Turbo Graphic 16/PC Engine, the MSX, The Neo Geo AES/CD (AES was 649.99 in 1991), the 3DO which only lasted 3 years, PlayStation didn’t come into the picture until 1995.