Xbox chumps!

[Azkatro]

Xbox 360 Very Unstable: http://games.slashdot.org/games/05/11/23/138200.shtml?tid=128&tid=211&tid=10

"There have been several postings over at Xbox-scene complaining of crashing Xbox's on new games, with default settings on single player. Crashes on Xbox Live and on startup have been reported too, and Project Gotham Racing 3 crashes before finishing the first lap. Screenshots and Video are available showing the crash."

Microsoft Loses $126 Per Unit on XBox 360:
http://games.slashdot.org/games/05/11/23/1549209.shtml?tid=211

"BusinessWeek has taken a look at the insides of the XBox 360 and with the a little help from market researcher iSuppli determined that Microsoft is continuing its tradition to taking a big loss on the console in hopes of making a profit on games. From the article: "An up-close look at the components and other materials used in the high-end version of the Xbox 360, which contains a hard drive, found that the materials inside the unit cost Microsoft $470 before assembly. The console sells at retail for $399, meaning a loss of $71 per unit -- and that is just the start. Other items packaged with the console -- including the power supply, cables, and controllers -- add another $55 to Microsoft's cost, pushing the loss per unit to $126."

Adding to that of course Microsoft's strategy to purposely understock it on release so they can rave about how quickly it "sold out":

Xbox 360 'Must Sell Out' on Release Day:
http://games.slashdot.org/article.pl?sid=05/11/02/1826249&tid=211&tid=187

"According to a Norwegian retailer (as reported by Gizmodo), Microsoft's making some peculiar demands during the XBox 360 launch. In particular, each retailer is to get 20 XBox 360 consoles (6 core editions, and 14 premium editions). However, to get the full allocation, they have to ensure they will sell out on the day of release (December 2nd over there)! Plus, each console must leave the store with at *least* two games each. Is Microsoft marketing like the beanie babies again - using 'Sold Out!' as a way to hype the popularity of their machine? It may appear to be, since Microsoft recently slowed down production of the XBox 360 as well."

All I can say is don't buy this piece of sh*t. I'm not normally anti-capitalist but this is just ridiculous. And besides, I suggest that you all wait for the PS3 which comes out next year - trust me.

Honestly, rush out a console 12 months early that's f**ked up and pull all this bullsh*t just to get some hype going, and wait 12 months to get the best games (GTA, anybody) :lol: :lol:

Xbox, get f**ked. My PS2 is still going strong and the poor damn bastard of a processor still runs less than 300MHz.

 

[canberra_raiders2k2]

Wait for the PS3..tust you? why?

all you have said is nothing new in the gamming world.

Playstation 2 was one of the most poorly constructed consoles, it had alot of problems and lets not forget the dissapointing online play.

Sony, xbox and Nintendo all lose money for the first year or so on consoles..everyone knows that the profits come from the software.

Playstation 2 sold faulty consoles for its first batch..i know this cause i bought mine at midnight release and it was dodgy.

Playstation 2 was the first console to do the "sold out" cause they didnt intend to meet consumer demand.

 

[***MH***]

Sony had just as much complaints when Version 1 of the PS2 came out.... compared to the amount of complaints made to the members whom haven't made complaints in those forums, it all just seems like teething problems.

 

[Choppies]

Meh. Who cares? Its just a friggin console.

 

[McLovin]

All consoles will have problems on release. It's just the way it is. The PS3 will not escape this problem...

 

[Godz Illa]

I just torched my Xbox.

 

[League Freak™]

I got my PS2 on the day they came out and have never had a single problem with it.

Got an XBox last year and it broke within 2 months.


I personally dont favour one console over the other....I play games...not consoles.

Im waiting on the PS3 though. This XBox seems like a rush job that will have a short lifespan.

 

[McLovin]

Does anybody have any idea on when the PS3 is going to be released?? and how much it will cost??

 

[Paullyboy]

edit - i misread a quote, my bad.

 

[Caged Panther]

I don't mind reasoned criticism but anyone who knows anything about console gaming knows your just dredging up crap for the sake of it.

The problem's with crashing seem to be related to overheating due to poor ventilation. In any case I've not heard of any new console where the inital batches don't have some problems or for that matter consumer electronics in general.

As for losing money on each console, that's how the console business works they lose money on the console and make it back on the software, accessories etc. In any case the latest estimates I've seen suggest sony will initally lose $150 on each PS3 they sell.

Understocking on release interesting theory there. Problem there is they are trying to manafacture enough consoles to meet demand in europe, japan and nth america. So while the idea of "worldwide launch" was commendable they have probably spread themselves a little too thin as a result. Anyone who suggest deliberate undersupplying is just idiotic.

 

[Azkatro]

As for losing money on each console, that's how the console business works they lose money on the console and make it back on the software, accessories etc.

Lies! Microsoft started that with the first Xbox when they decided to trigger a price war. That's not just "how it works". Keep in mind those numbers are based purely on the hardware - costs don't incorporate all the other stuff behind production that requires putting it all together. Losing over $100 US PER CONSOLE is absolutely stupid, and you can't prove to me that any other console in the history of gaming saw a loss per unit to that degree, if any at all.

 

[McLovin]

Lies! Microsoft started that with the first Xbox when they decided to trigger a price war. That's not just "how it works". Keep in mind those numbers are based purely on the hardware - costs don't incorporate all the other stuff behind production that requires putting it all together. Losing over $100 US PER CONSOLE is absolutely stupid, and you can't prove to me that any other console in the history of gaming saw a loss per unit to that degree, if any at all.

Using that theory, does this mean when Microsoft or Sony decide to lower the price of their systems by let's say, $200, they'll be losing $300 per console. I must be missing something here because that just doesn't sound right...

 

[canberra_raiders2k2]

I'll be enjoying next gen in march..you can wait for ps3 to come out.

 

[gaterooze]

Using that theory, does this mean when Microsoft or Sony decide to lower the price of their systems by let's say, $200, they'll be losing $300 per console. I must be missing something here because that just doesn't sound right...

The console's manufacturing costs will decrease over time/volume, so the loss should remain fairly stagnant.

 

[Caged Panther]

Lies! Microsoft started that with the first Xbox when they decided to trigger a price war. That's not just "how it works". Keep in mind those numbers are based purely on the hardware - costs don't incorporate all the other stuff behind production that requires putting it all together. Losing over $100 US PER CONSOLE is absolutely stupid, and you can't prove to me that any other console in the history of gaming saw a loss per unit to that degree, if any at all.

lies hey???

http://www.forbes.com/digitalentertainment/2005/08/19/videogame-prices-xbox-cx_de_0819videogame.html

NEW YORK - If life was more like videogames and you could make money smashing boxes, plucking flowers or stomping bad guys, then gamers wouldn't have to worry about the price tag for Microsoft's hotly anticipated new console, the Xbox 360. But this is the real world, and Bill Gates won't take payment in power crystals.

On Wednesday, Microsoft (nasdaq: MSFT - news - people ) announced that the new system, due this fall, will retail for $399. That version comes with most of the features that Microsoft has been hyping for months: a hard drive, wireless adapter and membership to the Xbox Live online gaming community. A stripped-down version of the console without any of those features will sell for $299, the same price as the original Xbox in 2001. Other systems have been just as costly. The Sony (nyse: SNE - news - people ) PlayStation 2 in 2000, the original PlayStation in 1995, and even Mattel's (nyse: MAT - news - people ) Intellivision console in 1980 all initially retailed for $299.

Sure, some boxes are cheaper--the Nintendo (other-otc: NTDOY - news - people ) GameCube, released in 2000, initially sold for $199. But maybe that's just Nintendo's magic number; it's the same price as the N64 in 1996, the SuperNES in 1991, and the original Nintendo Entertainment System in 1983.

Meanwhile, the prices of many other consumer electronics have plummeted. Ten years ago, a DVD player could easily set you back $1,000. Today you can get one for as little as $25. Personal computers, cell phones, flat-screen televisions and CD players have all come down dramatically in price, but not videogames. What gives? Thirty years after the first videogame consoles appeared, we're still paying the same price. Is this some sort of conspiracy dreamed up by King Koopa, Sephiroth or the evil alien Covenant?

"What is driving this is that the console manufacturers are pricing the systems to drive acquisition by a broad market," says NPD Funworld analyst Anita Frazier. "They are sold at a loss to the manufacturer and are not intended to be profit-drivers in and of themselves."

Unlike companies who make DVD players, game box manufacturers don't make money selling hardware. The real revenue (and profit) comes from the sale of games--either ones they've written or distributed themselves, or by independent publishers who pay the console maker a fee for every game they sell. "What drives profits is getting the devices into as many consumer's homes as possible, which in turn will drive software sales," says Frazier.

That's one reason why console debuts are sometimes tied into the release of big, exclusive game titles. Lots of gamers only bought the original Xbox at its debut so they could play the blockbuster game Halo. Microsoft is already selling the fact that titles like Quake 4, Perfect Dark: Zero and Dead or Alive 4 will be Xbox 360 exclusives.

The nature of gaming hardware might also be a factor in keeping prices high. One reason CD, DVD players and personal computers get cheaper is because they're made from standard building blocks. Most PCs use the same type of off-the-shelf chip, storage, graphics and software. There is little unique engineering to differentiate, say, a Dell (nasdaq: DELL - news - people ) computer from a Hewlett-Packard (nyse: HPQ - news - people ). The same is true for lots of audio and video equipment. But game consoles are different. Each generation uses cutting-edge or custom components. Economies of scale therefore rarely reach a magnitude that drives prices down.

And even when console manufacturers do get economies of scale and realize some cost savings, it doesn't trickle down. "That has the effect of lowering their loss on each sale, rather than allowing them to pass on that savings to the consumer in the form of a lower price," says Frazier.

Videogame consoles do tend to drop in price after they've been released. The Xbox and Playstation 2 initially cost $299, now they sell for about half that. Of course, for many gamers, waiting to play until the price comes down is about as appealing as kissing Donkey Kong.

 

[Azkatro]

It just kills you that I hate the Xbox doesn't it

 

[hybrid_tiger]

I've never had any problems with my X-Box.

The consoles are very simular, the games very simular.

PS2 was p1ss poor compared to the X-Box. No hard drive, only 2 controller ports, slow loading times etc. etc.

The PS3 and 360 will be simular but my determining factor is the online service. In this regard, X-Box sh1ts all over PlayStation - by far.

 

[sydraider]

Ill sit back and wait for a ps3, never owned a sh*tbox and never will.

 

[doovepop]

xbox rocks, so just live with it.

 

[Caged Panther]

It just kills you that I hate the Xbox doesn't it

doesn't effect me in the least just thought I'd point out some errors in what you said.