yeah, MSFT is the symbol it trades at on the stock market! I use it, because the company is basically just a money making business machine. Very little artistic quailty in their culture!
You mean you don't like, for example, how Windows 8 looks?
The agreement means ValueAct Capital – one of Microsoft's 15 largest shareholders with 0.8 percent of common stock – will "have the option" of plonking its president Mason Morfit onto Microsoft's board of directors, after the 2013 annual shareholders meeting.
Until the board meeting, the agreement "provides for regular meetings between Mason Morfit, president of ValueAct Capital, and selected Microsoft directors and management to discuss a range of significant business issues," Microsoft said.
I think the first line of your quote there is interesting. People kept saying oh it won't mean crap, they've only got 0.8% of the stock, but interesting that that actually makes them one of the largest shareholders so isn't meaningless at all.
I don't see why, I really can't see the other MS shareholders wanting to ditch the Xbox division considering how much money has been poured into it and how close they now are to seeing a return on the investment since we're now so close to release, they'll want to see how it goes before ditching the Xbox side of the company (and even if it sells below expectations I still can't see them ditching it). Since the 180's about the console it's been pre-ordering well too, so what possible reason would they have to drop it now? The console won't be as popular as the PS4 at launch, but it'll do a hell of a lot better than the WiiU.
Besides, apart from on here and Neogaf I haven't seen this being reported in any meaningful way anywhere else so I really doubt it'll change anything significantly.
Even if MS did dump the Xbox business (Which seems highly unlikely) I doubt the Xbox brand will be going anywhere. I am sure there would be a number of buyers for a ready built games business, Google, Apple or even Samsung could buy it, or even Nintendo to improve their current form
I really can't see the other MS shareholders wanting to ditch the Xbox division.
Most of them are not in it for the long run, they want the business to be as streamlined as possible so they can flip their shares and make lots of money, for them the 'Entertainment' wing can appear to be dead weight in the short to medium term -
I really don't understand all the talk of dumping the Xbox division. If it were making a loss then yes that would maybe make sense, but it's been in profit for the last few years.
What company would break apart a division that is in profit?
I am sure there would be a number of buyers for a ready built games business, Google, Apple or even Samsung could buy it, or even Nintendo to improve their current form
I doubt Microsoft would want those companies to have access to the XBox One source code. It has a Windows kernel.
And at the same time, I think a lot of the value of the XBox One to Microsoft comes from a hoped-for synergy with their other platforms: desktops, laptops, tablets, phones all running the same OS and UI as the XBox One. The console is their toe-hold in the living room. It's strategic for them; they have ambitions that go far beyond games.
To drop it now would mean a massive change in direction. Too big to happen quickly. Probably by the time it would be a realistic option, the teething problems with Windows 8 and the XBox One launch will be over. Microsoft have a vision, and they are executing on it, and it only looks like it sucks because that execution is incomplete. The more time they have to spend on it, the better it will look.
I really don't understand all the talk of dumping the Xbox division. If it were making a loss then yes that would maybe make sense, but it's been in profit for the last few years.
What company would break apart a division that is in profit?
The question for the future of the Xbox brand and more importantly as a console brand is whether Microsoft's got the ingenuity and commitment to survive in this tough industry. If Xbox doesn't fit well for the future of the company, I am sure they would like to pursue some other money-making scheme in the world of 'computers'! :rolleyes:
The industry is built upon trends and cycles, and Kinect seems to have missed the cycle and wasn't a real gaming trend anyway!
So if MS hadn't bothered with the Xbox 360 they would currently be $3 billion better off.
I posted that Neowin link before and it clearly shows the Xbox division is making a profit now for the company. Every company knows their going to make a lose on any project like this to begin with so I'm sure MS had expected it.
My point still stands, why offload a division that is now making a profit.
The ousted CEO (Ballmer) was keen to see the Entertainment (XBox) division allowed to grow however slowly, but the newly empowered ValueAct investors (and unnamed supporters amongst the other shareholders) don't see it as a means to raising the share price ASAP which is what they want. It's small change in the MS portfolio to them, and expendable.
It'll probably all hinge on the next CEO's outlook.
I posted that Neowin link before and it clearly shows the Xbox division is making a profit now for the company. Every company knows their going to make a lose on any project like this to begin with so I'm sure MS had expected it.
My point still stands, why offload a division that is now making a profit.
I thought the 360 was profitable but the Xbox project so far was still running at a loss. But a loss that is shrinking due to 360s profitability.
Maybe MS should stop wasting money on Exclusive Content and Timed Exclusives as they benefit nobody and the practice just pisses gamers off.
The ousted CEO (Ballmer) was keen to see the Entertainment (XBox) division allowed to grow however slowly, but the newly empowered ValueAct investors (and unnamed supporters amongst the other shareholders) don't see it as a means to raising the share price ASAP which is what they want. It's small change in the MS portfolio to them, and expendable.
It'll probably all hinge on the next CEO's outlook.
If they can pull off the interactive home of the future with Kinect it could be massive for the company. If all ValueAct care about is short term profit then that is far more of a worry for Microsoft at the end of the day.
The ousted CEO (Ballmer) was keen to see the Entertainment (XBox) division allowed to grow however slowly, but the newly empowered ValueAct investors (and unnamed supporters amongst the other shareholders) don't see it as a means to raising the share price ASAP which is what they want. It's small change in the MS portfolio to them, and expendable.
It'll probably all hinge on the next CEO's outlook.
All seems far to short sighted to me, raising share prices ASAP? What about long term? Lets face it, MS phone business isn't exactly doing that great compared to the likes of Apple and Googles Android. Windows 8 isn't very popular either, although selling well and probably making lots of money,
To me, wanting to sell off a part of the company just because it isn't making huge amounts of money, is short sighted and reckless.
I guess a lot will now depend on how the Xbox One performs, however, once MS leave the console games industry there will be no going back.
Imagine if Apple bought the Xbox brand, that would leave MS out of the console business, behind in the mobile phone business and an ever shrinking market share in computer OS. There business is disappearing slowly. Selling Xbox isn't the answer to any problem IMO.
All seems far to short sighted to me, raising share prices ASAP? What about long term? Lets face it, MS phone business isn't exactly doing that great compared to the likes of Apple and Googles Android. Windows 8 isn't very popular either, although selling well and probably making lots of money,
To me, wanting to sell off a part of the company just because it isn't making huge amounts of money, is short sighted and reckless.
I guess a lot will now depend on how the Xbox One performs, however, once MS leave the console games industry there will be no going back.
Imagine if Apple bought the Xbox brand, that would leave MS out of the console business, behind in the mobile phone business and an ever shrinking market share in computer OS. There business is disappearing slowly. Selling Xbox isn't the answer to any problem IMO.
Just spells disaster as far as I can see.
MS make all their money selling to businesses and it makes sense to me for them to focus on the part that works. The phone and games division doesn't make them any money, it's more of a hobby than a business that makes sense.
I think if the Xbox One isn't profitable then it will be the last console from MS.
If MSFT knew what the state of the world would be in now, when they first conceived the xbox. There's no way they would invest in the 'living room' .
MSFT would be far better to concentrate on expanding Bing and getting their OS on moblie phones and tablets.
For Sony, it's different: they already have entertainment assets and it's about finding that hardware matching software that's more appealing. So it absolutely makes sense that Sony would put 100% effort into its gaming business.
Comments
You mean you don't like, for example, how Windows 8 looks?
Did anyone like that?
Steve Ballmer
Microsoft has given in to their demands for a seat on the board:
http://www.theregister.co.uk/2013/08/31/microsoft_valueact_ballmer/
http://www.neogaf.com/forum/showthread.php?t=666713
I don't see why, I really can't see the other MS shareholders wanting to ditch the Xbox division considering how much money has been poured into it and how close they now are to seeing a return on the investment since we're now so close to release, they'll want to see how it goes before ditching the Xbox side of the company (and even if it sells below expectations I still can't see them ditching it). Since the 180's about the console it's been pre-ordering well too, so what possible reason would they have to drop it now? The console won't be as popular as the PS4 at launch, but it'll do a hell of a lot better than the WiiU.
Besides, apart from on here and Neogaf I haven't seen this being reported in any meaningful way anywhere else so I really doubt it'll change anything significantly.
The next CEO could spin off or ditch the Xbox brand, or it could even expand the Xbox brand into the handheld space.
Most of them are not in it for the long run, they want the business to be as streamlined as possible so they can flip their shares and make lots of money, for them the 'Entertainment' wing can appear to be dead weight in the short to medium term -
http://i5.minus.com/ib0KBRnHAYgJDt.png
What company would break apart a division that is in profit?
And at the same time, I think a lot of the value of the XBox One to Microsoft comes from a hoped-for synergy with their other platforms: desktops, laptops, tablets, phones all running the same OS and UI as the XBox One. The console is their toe-hold in the living room. It's strategic for them; they have ambitions that go far beyond games.
To drop it now would mean a massive change in direction. Too big to happen quickly. Probably by the time it would be a realistic option, the teething problems with Windows 8 and the XBox One launch will be over. Microsoft have a vision, and they are executing on it, and it only looks like it sucks because that execution is incomplete. The more time they have to spend on it, the better it will look.
Not according to Forbes http://www.forbes.com/sites/adamhartung/2013/01/20/sell-microsoft-now-game-over-ballmer-loses/
Also according to Neowin http://www.neowin.net/news/report-microsofts-xbox-division-has-lost-nearly-3-billion-in-10-years
So if MS hadn't bothered with the Xbox 360 they would currently be $3 billion better off.
The industry is built upon trends and cycles, and Kinect seems to have missed the cycle and wasn't a real gaming trend anyway!
I posted that Neowin link before and it clearly shows the Xbox division is making a profit now for the company. Every company knows their going to make a lose on any project like this to begin with so I'm sure MS had expected it.
My point still stands, why offload a division that is now making a profit.
It'll probably all hinge on the next CEO's outlook.
I thought the 360 was profitable but the Xbox project so far was still running at a loss. But a loss that is shrinking due to 360s profitability.
Maybe MS should stop wasting money on Exclusive Content and Timed Exclusives as they benefit nobody and the practice just pisses gamers off.
If they can pull off the interactive home of the future with Kinect it could be massive for the company. If all ValueAct care about is short term profit then that is far more of a worry for Microsoft at the end of the day.
All seems far to short sighted to me, raising share prices ASAP? What about long term? Lets face it, MS phone business isn't exactly doing that great compared to the likes of Apple and Googles Android. Windows 8 isn't very popular either, although selling well and probably making lots of money,
To me, wanting to sell off a part of the company just because it isn't making huge amounts of money, is short sighted and reckless.
I guess a lot will now depend on how the Xbox One performs, however, once MS leave the console games industry there will be no going back.
Imagine if Apple bought the Xbox brand, that would leave MS out of the console business, behind in the mobile phone business and an ever shrinking market share in computer OS. There business is disappearing slowly. Selling Xbox isn't the answer to any problem IMO.
Just spells disaster as far as I can see.
Are we not getting a release date until AFTER this meeting???
MS make all their money selling to businesses and it makes sense to me for them to focus on the part that works. The phone and games division doesn't make them any money, it's more of a hobby than a business that makes sense.
I think if the Xbox One isn't profitable then it will be the last console from MS.
MSFT would be far better to concentrate on expanding Bing and getting their OS on moblie phones and tablets.
For Sony, it's different: they already have entertainment assets and it's about finding that hardware matching software that's more appealing. So it absolutely makes sense that Sony would put 100% effort into its gaming business.