Microsoft invested 4 billion USD into Xbox division
Wednesday, September 28, 2005
Since launching Xbox in 2001, the Microsoft game console project has resulted in a $4 billion loss for the company, an amount estimated to be approximately equal to 10% of Microsoft's total cash reserves.
The Xbox game console was marketed by Microsoft as a loss leader with the plan of establishing a profit base derived from game sales and licensing to third party game publishers.
- Victoria Murphy. "Microsoft's MidLife Crisis" — , Oct 3, 2005