Of all components, a disk is the only thing that “regularly” fail, that become too small, and have no other security impact, no profit margin (I think) It’s idiotic MS took this route. And what’s the downside/risk for MS? Nothing.. if the Xbox doesn’t work anymore, just don’t give any support on that disk
Margins are low on retail drives. Drives MS was selling had _plenty_ of margin. Which is why MS went that way. Also, this saves you from "I bought shitty drive from NoName on alibaba and it doesn't work" support requests. Still stupid though. Glad Sony out of all companies opened up PS3 they way they did.
Drives MS was selling had _plenty_ of margin. Which is why MS went that way
Maybe? It's hard to say. The linked article comparing the price of MS's HDD accessory to the cost of a contemporary OEM hard drive via NewEgg and yeah, MS's HDD was way more expensive per GB.There are a lot of extra costs for MS though. Maintaining a separate SKU. Retail packaging. Cost of unsold units. Negotiating a supply of HDDs from e.g. WD which had to keep a production line or whatever open for that model when they otherwise might have phased it out sooner. The plastic enclosures. Etc.
Some of the price/GB differential may well have been gouging but some of it was also certainly overheads such as those I mentioned. There was zero possibility MS's retail Xbox360 HDDs could have been priced identically to the ever fluctuating price of HDDs from the direct sales channel. For a start, how could they reprice the units they'd already sold to WalMart, EBGames, and the like?
My strong hunch is that those official MS HDD's were not very profitable for MS. Otherwise one suspects they would not have tolerated hacked HDDs.
Of course if you want to say their whole strategy was dumb, I agree. Why not just allow consumers to slap the SATA drive of their choice into the 360? Bigger drives = more room for games = customers theoretically buying more games.