Microsoft confirms zero profit on initial console sales

Another titbit from the Apple Vs. Epic saga

Microsoft confirms zero profit on initial console sales

The ongoing court case between tech giants Apple and Epic continues to spill interesting information about the entertainment industry as a whole.


As part of the proceedings, Microsoft was asked to confirm the long-standing rumour that the company does not many any profit on the sale of their Xbox consoles - which they did.


Xbox Vice President Lori Wright told Epic Game's lawyer that Microsoft "sells the consoles at a loss" as "hardware is critical" to establishing the brand.

Wright also told the court that if Microsoft didn't take 30% commission from sales on its platform, then the company "couldn't make money off the Xbox". This is probably exactly what Apple lawyers were wanting to hear - as at its core this dispute is whether Apple holds an unfair monopoly on iOS storefronts.


[SOURCE twitter.com]