Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

Resetting Xbox

news.xbox.com

Post reply on HN
Print view View original

71–80 of 981 posts

Re: Resetting Xbox

#71

Post by tracker1 »

mjr00 wrote: post #50
rockyj wrote: post #24

This is a total mess IMHO. - The make around 5 billion in revenue per quarter - The problem according to them is profit margin - around 150-160 million So first of all, they are big! Secondly they are not at a loss. They just have a "thin, non-growing margin". So to fix all this they are trimming down, so they can "return to growth" (which I think is ridiculous). Some points - - They are huge business even now - 5 bi…

> - The make around 5 billion in revenue per quarter - The problem according to them is profit margin - around 150-160 million > So first of all, they are big! Secondly they are not at a loss. They just have a "thin, non-growing margin". So to fix all this they are trimming down, so they can "return to growth" (which I think is ridiculous). How is that profit margin distributed though? King (Candy Crush etc) and Moja…

On the margins, that's crazy thin for the size of the org... One bad quarter could turn from a few million in profits to hundreds of millions in losses. It's too close, and there's no way to build/store funds for any kind of storm at that level.

Now, I think the vast majority of the pain is more than self-inflicted... I think actual business, marketing and focus need to start taking priority over idealistic political PoV. Let the games target their natural audiences and have the broadest appeal... at a certain point, trying to gain 1% of audience means alienating 25% or more.

Re: Resetting Xbox

#72

Post by WorldMaker »

saghm wrote: post #62
ChocolateGod wrote: post #4

I think some of these game studios got so content with Microsoft constantly paying that they forgot to make games that would actually sell. South of Midnight took 7 years to make and cost $100 million to make... yet sold hardly any copies and I'm not even sure who they were trying to make it for. Meanwhile you have studios like Sandfall and Warhorse pumping out games on a fraction of the budget that ship millions (an…

> I think some of these game studios got so content with Microsoft constantly paying that they forgot to make games that would actually sell. I mean, if you're assuming that Microsoft had a fully hands-off approach to managing these companies after buying them, then sure. It's not clear to me that you can make a compelling claim about whether the issues were from the bottom or the top just by looking at the final out…

Plus there's plenty of evidence that Microsoft hasn't been hands off across that time period. At the very least we've seen them cancel a Rare game and layoff a bunch of Rare staff because of it, The Initiative shut down for not meeting game development goals, 343 Industries stripped apart for low results versus expectations with Halo Infinite and the "new" Halo Studios is basically just a shell and an outsourcing venture in direct line with ActiVision's old Call of Duty tactics.

Re: Resetting Xbox

#73

Post by tracker1 »

2OEH8eoCRo0 wrote: post #52
rockyj wrote: post #24

This is a total mess IMHO. - The make around 5 billion in revenue per quarter - The problem according to them is profit margin - around 150-160 million So first of all, they are big! Secondly they are not at a loss. They just have a "thin, non-growing margin". So to fix all this they are trimming down, so they can "return to growth" (which I think is ridiculous). Some points - - They are huge business even now - 5 bi…

Compulsively chasing only the highest margins has been toxic for the country as a whole.

[flagged]

Re: Resetting Xbox

#74

Post by WorldMaker »

1970-01-01 wrote: post #5

They will just continue smash thru exactly what is killing them because they do not know how to reset. More micro transactions, Halo 14-39, games launching before they're ready, price increases, etc. All of that looks good on paper, so they will take no action against. The XBOX is hitting icebergs, and instead of slowing down, they will just call for more speed.

Microsoft laid off most of its Halo talent in a previous lay off cycle, stripping 343 Industries of most of its staff and rebooting it as Halo Studios as a shell to mostly outsource development to other companies in the way that Call of Duty was built on the game development equivalent of sweat shops. They've already shown that they don't have the guts to make Halo 14-39, they seem to be only doing yet another remake of Halos 1-3 and maybe Reach, this time in Unreal and with "AI" to help "upscale" everything. Just four Halo games endlessly remade until people forget why they were ever originally popular.

Re: Resetting Xbox

#75

Post by tracker1 »

hbn wrote: post #16

It was pretty rich seeing armchair video game industry analysts act like the new CEO was gonna usher in a new age for Microsoft's gaming division because she got to announce the updated logo and some games that would have obviously been in development long before she became CEO. Microsoft is never going to figure out gaming. It's more art than engineering and they can barely manage the engineering with all the interv…

To me, the graphics abilities have been there for a decade... what we need are better games and gameplay. More fun games without gotcha, pay to win, loot box efforts. Too much effort is going for dazzling graphics at the expense of overall gameplay. How many people are still playing CoD, WoW and so many other games from over a decade ago? How many refreshes of Final Fantasy have we seen?

The graphics can only carry you so far. There's indy adventure games with SNES level graphics that have millions of daily users.

Re: Resetting Xbox

#77

Post by llm_nerd »

hbn wrote: post #16

It was pretty rich seeing armchair video game industry analysts act like the new CEO was gonna usher in a new age for Microsoft's gaming division because she got to announce the updated logo and some games that would have obviously been in development long before she became CEO. Microsoft is never going to figure out gaming. It's more art than engineering and they can barely manage the engineering with all the interv…

When she was announced it was broadly assumed that she was being brought in to kill the division.

But then she did some minor, pandering actions and suddenly everyone was "oh boy! A new era of xbox!" Only it was all a ruse to ensure people didn't jump ship too quickly and make the bleeding too heavy. They want people to keep pumping money into a platform heading to the graveyard.

Re: Resetting Xbox

#78

Post by WorldMaker »

MisterTea wrote: post #51
hbn wrote: post #16

It was pretty rich seeing armchair video game industry analysts act like the new CEO was gonna usher in a new age for Microsoft's gaming division because she got to announce the updated logo and some games that would have obviously been in development long before she became CEO. Microsoft is never going to figure out gaming. It's more art than engineering and they can barely manage the engineering with all the interv…

> And between graphics almost certainly at the point of diminishing returns, and hardware prices like they are right now, I can't imagine there's a market to sell something more capable than current gen consoles. I haven't bought a console since the Xbox360 and Wii. But I have a friend who still games pretty heavily and is low income. He can not afford the latest PS5 and is still on a PS4. We were talking the other d…

$200 in 1985 (NES launch price/date), adjusted for inflation is just shy of $600 in 2026. RAM and GPU prices are really hurting the consoles right now, but compared to inflation benchmarks up until about 2020 they were considerably below inflation.

Re: Resetting Xbox

#80

Post by WorldMaker »

butlike wrote: post #56
manytimesaway wrote: post #19

Earlier quoted context omitted.

Things are not that black and white. Nintendo also shipped Metroid Prime 4, with massive delays and unsatisfied customers, following the same "interactive Hollywood" philosophy which disappointed Metroid fans. Same thing goes for Star Fox, a remake of a remake of a remake, with poor visual and dialogue choices. And meanwhile, the same silent push for digital-only, forced upgrades and the like...

I'm curious about the Star Fox comment. Tell me if I got this wrong: A remake (1) of a remake (2) of a remake (3) (1) A remake (Switch 2 Starfox, a remake of StarFox 64) (2) StarFox 64 (A remake of Super Nintendo's StarFox) (3) ??? I don't know what the 3rd level of remake you mention is, but I'm curious!

Between 1 and 2 was the 3DS remake which added levels and cleaned up the story some. The Switch Starfox includes those parts, too, from what I've heard.
Post reply on HN