[beardedscotsman]

I remember seeing the COGS for Xbox One and it was the same as retail prices. There was no profit from COGS and then you have shipping and associated costs to get the consoles out. So there is an inherent loss. it’s likely too that advertising comes under this cost per unit too.

Xbox games take 10 to 15 USD per title sold, so there is a big push for games to sell. Xbox 360 had the highest at the time games sold at console sale it was like 2.5 or 3.5 games per console sold and I think that is likely still a record.

Consoles take time to make a profit, but subscription models with multiplayer really help. Honestly I think this is how it should remain, at least with lowering the cost of entry to home consoles vs desktop computers.