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kevindong | 4 years ago

Xboxes have always been sold at a loss and then Microsoft makes back its money via games.

https://www.makeuseof.com/microsoft-confirms-its-selling-xbo...

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musicale|4 years ago

The Switch was always sold at a profit relative to its hardware component and manufacturing costs, yet Nintendo charges 30% platform fees just like Apple (and Microsoft.) PS4 and PS5 (disc model) are currently sold at a profit, and Sony continues to charge the same platform fees.

Nintendo (like Apple) needs to recoup R&D and software development costs, and their business model is based on charging platform fees.

It's completely unsurprising that Apple's gaming handheld uses a similar walled garden/platform fee business model similar to Nintendo's.

musicale|4 years ago

[sadly can't fix typo; I wish HN would extend its editing window from a few hours to a week or so.]