Monday, 26 July 2010

Microsoft Game Studios Profits Jumps 500%

Microsoft has revealed that their total company revenues for the financial year ending June 30th 2010 stands at a colossal $62.5 billion, while its net income stood at $18.7 billion - increases of $4 billion and $4.2 billion over 2009 respectively.

Entertainment & Devices - which includes the Xbox division - saw its profit leap from $108 million in fiscal 2009 compared to $679 million in 2010 - an increase of some 529 percent.

1.5 million Xbox 360s were shipped between April - June 2010, comparative to 1.2 million in the same quarter last year. However, sales for the full year were down slightly, standing at 10.3 million compared to 11.2 million a year ago.

The massive spike in profitability was largely attributed to lower development costs for their console as well as increased royalties from Xbox Live third-party content. Microsoft’s gaming division have struggled in previous years to make a profit, so no doubt this will be fantastic news for them.

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