In the gaming industry, it's well-known that console manufacturers often struggle to make substantial profits from their hardware. A troubling trend has emerged where companies not only fail to earn from their consoles but also incur losses. This unfortunate reality is currently affecting Microsoft.
Financial Losses on Xbox Sales
Recent reports indicate that Microsoft loses approximately $150, or around IDR 2.7 million, with each sale of the Xbox Series X or Series S. This situation has arisen despite a recent price hike, with the Series X now retailing at a minimum of $599.99.
Reasons Behind the Price Increase
The increased pricing for the Xbox consoles applies to both the disc and digital versions of the Series X. The primary factor driving this price surge is the rising cost of RAM, which continues to be a significant issue without any signs of resolution. According to Windows Central, Microsoft is expected to face ongoing losses with every console sold.
Declining Revenue in Gaming Division
Accompanying this news is a decline in revenue from Microsoft's gaming division. For instance, the income from Xbox content and services fell by 10% in the fourth quarter, alongside a 13% drop in console sales. Additionally, operational costs surged by 8% during this period.
Impact of Game Pass Growth
Despite the downturn, the growth of Game Pass has managed to somewhat offset the annual decline. However, hardware sales have plummeted by 29%, indicating significant challenges in that sector. As a result of these financial struggles, there have been substantial layoffs at Xbox, with about 1,600 employees facing job termination over the next year.
Source: https://inet.detik.com/games-news/d-8608900/harga-konsol-xbox-naik-tapi-microsoft-malah-tetap-merugi
