Xbox One X won't turn a profit for Microsoft

Bill Rogers
June 26, 2017

Xbox One X has been unveiled at the Electronic Entertainment Expo 2017, shedding its previous name as Project Scorpio.

At the moment, there are 386 Xbox 360 games playable on Xbox One after the feature was announced at the Microsoft E3 conference in June 2015. Indeed, the custom Advanced Micro Devices (AMD) GPU in the newest Xbox can run at 6 teraflops, compared to the Sony console which comes with an AMD Polaris graphics card that is capable of running at 4.2 teraflops.

"The money-making part is in selling games", he said, showing that Microsoft will rely on titles to drive up its profit from the Xbox One X.

The price tag of $499 is actually right on the money for many analysts, as the price is what many predicted for the Xbox One X. The question, however, is whether gamers will be willing to pay that price, especially considering the lack of exclusives for the Xbox One compared to the PlayStation 4.

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The fact that Microsoft is not making a profit on the Xbox One X now, however, could not be considered surprising at all. On paper, it's clear that the PS4 Pro is competing with the Xbox One S, rather than the Xbox One X.

Many hoped that after the successful launch of Xbox 360 backwards compatibility on Xbox One that Microsoft would extend this support to the original Xbox. "The majority of our consoles that are sold next year will be [Xbox One] S. That has always been the plan", Spencer said. Gears of War 4, Forza Horizon 3, Tom Clancy's Ghost Recon Wildlands and many other popular Xbox One games will receive free updates to take full advantage of the power of Xbox One X. Xbox will also expand the Xbox One backward compatibility library to include original Xbox classics, starting with fan favorite Crimson Skies. "But I will say price is critical".

Will you be picking one up later this year? "We had 42 games, 22 of them with console exclusivity that I could put on-stage that all are games where you could see the dates for them and when they're coming", Spencer said. "People want to know what the roadmap in the future looks like, and that's my job to deliver it to them".

Other reports by TheSundaySentinel

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