MS manages to turn 40$ reductions into 200$ profits.

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hot114

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#1 hot114
Member since 2003 • 4489 Posts

Total gain 240$, so every console is worth 2 now?
Thats awesome for just wifi and a HDD, playing theyr consumers like marionettes
While sony is losing on every PS3 sold every 360 gets to count for 2 XDXDXD.

Industry specialist:

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Tjeremiah1988

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#2 Tjeremiah1988
Member since 2003 • 16665 Posts
Good for them ?
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Gxgear

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#3 Gxgear
Member since 2003 • 10425 Posts

That's how M$ gets you, with the hidden costs.

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hot114

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#4 hot114
Member since 2003 • 4489 Posts
What shocked me the most was how it costs LESS than 4$ to have wifi build in yet they effectively making 2500 percent profit for each addon lol
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T-Aldous

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#5 T-Aldous
Member since 2006 • 1244 Posts

So what you are saying is that MS is smarter than Sony and knows how to make money?

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Gxgear

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#6 Gxgear
Member since 2003 • 10425 Posts

So what you are saying is that MS is smarter than Sony and knows how to make money?

T-Aldous

Smart enough to exploit consumers, not smart enough to make reliable hardware.

Cell phones these days come with Wifi.

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T-Aldous

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#7 T-Aldous
Member since 2006 • 1244 Posts

[QUOTE="T-Aldous"]

So what you are saying is that MS is smarter than Sony and knows how to make money?

Gxgear

Smart enough to exploit consumers, not smart enough to make reliale hardware.

Cell phones these days come with Wifi.

What can I say? They learned it from Sony last gen and it still works.
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Gxgear

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#8 Gxgear
Member since 2003 • 10425 Posts

[QUOTE="Gxgear"]

[QUOTE="T-Aldous"]

So what you are saying is that MS is smarter than Sony and knows how to make money?

T-Aldous

Smart enough to exploit consumers, not smart enough to make reliable hardware.

Cell phones these days come with Wifi.

What can I say? They learned it from Sony last gen and it still works.

OMG those network adaptors....bought one and never used it.

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Yankees718

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#9 Yankees718
Member since 2009 • 1033 Posts

[QUOTE="Gxgear"]

[QUOTE="T-Aldous"]

So what you are saying is that MS is smarter than Sony and knows how to make money?

T-Aldous

Smart enough to exploit consumers, not smart enough to make reliale hardware.

Cell phones these days come with Wifi.

What can I say? They learned it from Sony last gen and it still works.

Whats a bigger ripoff?:

120 GB HDD for $150?

or

8MB memory card for $20?

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Odrec

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#10 Odrec
Member since 2009 • 1897 Posts
It actually counts for 3 counting the other they have to buy once it RRODs. :P
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micky4889

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#11 micky4889
Member since 2006 • 2668 Posts

[QUOTE="T-Aldous"][QUOTE="Gxgear"]

Smart enough to exploit consumers, not smart enough to make reliale hardware.

Cell phones these days come with Wifi.

Yankees718

What can I say? They learned it from Sony last gen and it still works.

Whats a bigger ripoff?:

120 GB HDD for $150?

or

8MB memory card for $20?

You have to take into account the time frame, flash memory was pretty expensive back when the PS2 launched, i recall buying a 256mb SD card for a camera back in 2002 and it was something like $50. But no matter how you try to put it, a120 GB HDDfor $150 in 2009 is outright laughable, i can get a 500GB HDD of newegg and still have around $60-$70 left over.

Besides Sony allowed 3rd partys to make memory cards for the PS2 so you always had an option, where's the 3rd party HDDs for the 360?

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T-Aldous

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#12 T-Aldous
Member since 2006 • 1244 Posts

[QUOTE="T-Aldous"][QUOTE="Gxgear"]

Smart enough to exploit consumers, not smart enough to make reliable hardware.

Cell phones these days come with Wifi.

Gxgear

What can I say? They learned it from Sony last gen and it still works.

OMG those network adaptors....bought one and never used it.

I do completely agree though, there addons are way overpriced for the most part. I am just saying that it is a simple yet efficient strategy that they learned from Sony.
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Odrec

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#13 Odrec
Member since 2009 • 1897 Posts
[QUOTE="Gxgear"]

[QUOTE="T-Aldous"]What can I say? They learned it from Sony last gen and it still works.T-Aldous

OMG those network adaptors....bought one and never used it.

I do completely agree though, there addons are way overpriced for the most part. I am just saying that it is a simple yet efficient strategy that they learned from Sony.

MS learned ripping off people from Sony? Buahahahaha :lol: MS invented that term, they are practically synonyms.
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MortalDecay

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#14 MortalDecay
Member since 2005 • 4298 Posts

That's how M$ gets you, with the hidden costs.

Gxgear
Please be specific. Where does MS hide the price of anything that they sell?
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Odrec

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#15 Odrec
Member since 2009 • 1897 Posts
[QUOTE="Gxgear"]

That's how M$ gets you, with the hidden costs.

MortalDecay
Please be specific. Where does MS hide the price of anything that they sell?

Bluetooth/WLAN = $3.92 M$ Wifi = $100 They are hidding the real ~$4 cost with a $96 extra :)
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Funconsole

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#16 Funconsole
Member since 2009 • 3223 Posts
[QUOTE="Yankees718"]

[QUOTE="T-Aldous"][QUOTE="Gxgear"]

Smart enough to exploit consumers, not smart enough to make reliale hardware.

Cell phones these days come with Wifi.

What can I say? They learned it from Sony last gen and it still works.

Whats a bigger ripoff?:

120 GB HDD for $150?

or

8MB memory card for $20?

Well seeing how 120 GB HDD is not $150, i would say the 8MB memory card
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KukicAdo

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#17 KukicAdo
Member since 2008 • 973 Posts
MS is genius WLAN costs $3.92..... Microsoft sells it for $100. Brilliant.
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deactivated-619c4c1a1a382

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#18 deactivated-619c4c1a1a382
Member since 2005 • 4956 Posts
I want some 9.80$ XDR ram for my pc!
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SolidTy

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#19 SolidTy
Member since 2005 • 49991 Posts

It's very effective...I'll give them that.

There are a few groups here that I can see :

Those that don't care, Those that don't buy, Those that adamantly defend no matter what, and Those that really don't know.

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SUD123456

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#20 SUD123456
Member since 2007 • 7059 Posts

Welcome to the world of capitalism where the price of goods hasnothing to do with the cost to make them. You will learn this throughout your life, not just in buying video console accessories.

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Burning-Sludge

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#21 Burning-Sludge
Member since 2008 • 4068 Posts

*applause* Congratulations for being able to make money MS.

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hot114

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#22 hot114
Member since 2003 • 4489 Posts

Welcome to the world of capitalism where the price of goods hasnothing to do with the cost to make them. You will learn this throughout your life, not just in buying video console accessories.

SUD123456
I'm sorry but the example in your sig does not translate to gaming..... at all
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Halo__Reach

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#23 Halo__Reach
Member since 2009 • 443 Posts
[QUOTE="Odrec"][QUOTE="MortalDecay"][QUOTE="Gxgear"]

That's how M$ gets you, with the hidden costs.

Please be specific. Where does MS hide the price of anything that they sell?

Bluetooth/WLAN = $3.92 M$ Wifi = $100 They are hidding the real ~$4 cost with a $96 extra :)

but i would never use wifi, so whats your point?
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xsubtownerx

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#24 xsubtownerx
Member since 2007 • 10705 Posts

[QUOTE="T-Aldous"]

So what you are saying is that MS is smarter than Sony and knows how to make money?

Gxgear

Smart enough to exploit consumers, not smart enough to make reliable hardware.

Cell phones these days come with Wifi.

Smart enough to give the consumers a free 3 year warranty. I'll take that over wifi.
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hot114

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#25 hot114
Member since 2003 • 4489 Posts
[QUOTE="Halo__Reach"] but i would never use wifi, so whats your point?

Are you honestly defending a 4$ price cut at the expense of a 100$ utility?
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Nerkcon

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#26 Nerkcon
Member since 2006 • 4707 Posts
[QUOTE="hot114"] [QUOTE="Halo__Reach"] but i would never use wifi, so whats your point?

Are you honestly defending a 4$ price cut at the expense of a 100$ utility?

I think he is saying that no one never ever needs Wifi. :roll:
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Bigboi500

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#27 Bigboi500
Member since 2007 • 35550 Posts

It is dispicable milkage no doubt, but don't think Sony loves you any more than Microsoft does. If Sony was in a better business situation they too would do the same thing.

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Chutebox

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#28 Chutebox
Member since 2007 • 51600 Posts

Total gain 240$, so every console is worth 2 now?
Thats awesome for just wifi and a HDD, playing theyr consumers like marionettes
While sony is losing on every PS3 sold every 360 gets to count for 2 XDXDXD.

hot114

I'm sorry, but I can't take the graph seriously because Blu-ray isn't spelled right.

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gamer-adam1

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#29 gamer-adam1
Member since 2008 • 4188 Posts

I still dont know why everyone here is saying how Microsoft is the ONLY company ripping people off. I would like someone to find a Company thats for Profit and NOT rip off everyone

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WilliamRLBaker

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#30 WilliamRLBaker
Member since 2006 • 28915 Posts

good, it tells me microsoft is good at buisness, and sony isn't.

I would rather support a system that has some smart execs behind it, then a system that doesn't have smart execs.

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Kokuro_Kun

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#31 Kokuro_Kun
Member since 2009 • 2339 Posts

That's how M$ gets you, with the hidden costs.

Gxgear
You mean items that should be packed in the box and not confusing the normal joe?
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RadecSupreme

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#32 RadecSupreme
Member since 2009 • 4824 Posts

Glad I dont support that trash.

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walbeb

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#33 walbeb
Member since 2007 • 616 Posts

good, it tells me microsoft is good at buisness, and sony isn't.

I would rather support a system that has some smart execs behind it, then a system that doesn't have smart execs.

WilliamRLBaker

Smart execs shouldn't have let a faulty system launch, even with a 3 year warranty it's not cool having to send it in almost every other month like i had too. :(

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savagetwinkie

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#34 savagetwinkie
Member since 2008 • 7981 Posts

[QUOTE="WilliamRLBaker"]

good, it tells me microsoft is good at buisness, and sony isn't.

I would rather support a system that has some smart execs behind it, then a system that doesn't have smart execs.

walbeb

Smart execs shouldn't have let a faulty system launch, even with a 3 year warranty it's not cool having to send it in almost every other month like i had too. :(

part of the problem was the time frame that it took to see this fualty problem, the other is to redesign the chip because of the materals being used, didn't withstand heat as much, at the time these materials were actually standard. Had they known about the problem and changed materials, the 360 would have actually performed slightly slower since the new materials didn't get the same performance, all those launch games that were ready they would have had to push back a year and tell everyone to redesign their game. Pissing off alot of dev's.

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boredy-Mcbored

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#35 boredy-Mcbored
Member since 2007 • 1566 Posts

ZOMG!!!! You mean making money from a buissness is BAD??? Damn you Microsoft, Nintendo, Panasonic, McDonalds, Coke...

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Odrec

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#36 Odrec
Member since 2009 • 1897 Posts

good, it tells me microsoft is good at buisness, and sony isn't.

I would rather support a system that has some smart execs behind it, then a system that doesn't have smart execs.

WilliamRLBaker

So ripping people off is now admirable? I'm sure M$ loves people like you my friend. :P

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hot114

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#37 hot114
Member since 2003 • 4489 Posts
[QUOTE="Nerkcon"][QUOTE="hot114"] [QUOTE="Halo__Reach"] but i would never use wifi, so whats your point?

Are you honestly defending a 4$ price cut at the expense of a 100$ utility?

I think he is saying that no one never ever needs Wifi. :roll:

That one is even worse :D
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Dahaka-UK

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#38 Dahaka-UK
Member since 2005 • 6915 Posts

Glad I dont support that trash.

RadecSupreme
As am I. As am I.
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BloodSeeker1337

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#39 BloodSeeker1337
Member since 2009 • 1278 Posts
I couldn't care less than WiFi :roll:
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hot114

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#40 hot114
Member since 2003 • 4489 Posts
I couldn't care less than WiFi :roll:BloodSeeker1337
Are you honestly defending a 4$ price cut at the expense of a 100$ utility?
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BloodSeeker1337

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#41 BloodSeeker1337
Member since 2009 • 1278 Posts
[QUOTE="BloodSeeker1337"]I couldn't care less than WiFi :roll:hot114
Are you honestly defending a 4$ price cut at the expense of a 100$ utility?

I don't use WiFi :o
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Doctor-McNinja

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#42 Doctor-McNinja
Member since 2009 • 1515 Posts
Since when does the cost of goods ever effect the price? Have i been living in some alternate reality economy for the last 20 years? Go find any wireless adapter for your PC which is decent and costs $4. Good luck.
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Flipyap28

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#43 Flipyap28
Member since 2008 • 3865 Posts
Glad to be a Jasper 360 owner ;) At the end of the day, its all about money and if MS is doing this then good for them. I dont feel like I have been exploited yet, I had a wireless adapter before buying a 360 (you dont need to use the official thing) and so far consoles bought in 2009 apperently have a 4% failure rate (jasper ftw), XBL gold is good, no lag in most games.
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delta3074

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#44 delta3074
Member since 2007 • 20003 Posts
evry company does this, it's basic business economics, PROFIT=SALES-PRODUCTION COSTS, evry companys aim is to keep costs low and sales high to increase the return on there investment, this sort of thing has been goin on since the stone ages, nothing new here, and anyone who thinks SONY and NINTENDO wouldn't do the same is seriously deluded and it's good business for the many people who work for microsoft who's jobs are now secure, most of who probably have mouths to feed, you see, i can spin it the other way,lol
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delta3074

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#45 delta3074
Member since 2007 • 20003 Posts
[QUOTE="Flipyap28"]Glad to be a Jasper 360 owner ;) At the end of the day, its all about money and if MS is doing this then good for them. I dont feel like I have been exploited yet, I had a wireless adapter before buying a 360 (you dont need to use the official thing) and so far consoles bought in 2009 apperently have a 4% failure rate (jasper ftw), XBL gold is good, no lag in most games.

*high five*
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lhughey

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#46 lhughey
Member since 2006 • 4890 Posts
You can't just name out the current cost and say "Look M$ was cheap". The more important factor was the price of these components 6 years ago when the specs for the consoles were being designed. M$ decided to release a console at a decent price point, and they have prospered and grown their brand, while Sony chose another path. Sony could release an expensive console because they had more brand recognition, but still almost bankrupted the division. Are you saying that M$ should have taken the same path an even worse result because of less brand recognition. There is a reason that fanboys don't run fortune 500 companies.
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Eddie-Vedder

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#47 Eddie-Vedder
Member since 2003 • 7810 Posts
evry company does this, it's basic business economics, PROFIT=SALES-PRODUCTION COSTS, evry companys aim is to keep costs low and sales high to increase the return on there investment, this sort of thing has been goin on since the stone ages, nothing new here, and anyone who thinks SONY and NINTENDO wouldn't do the same is seriously deluded and it's good business for the many people who work for microsoft who's jobs are now secure, most of who probably have mouths to feed, you see, i can spin it the other way,loldelta3074
What world do you live in? How does every company do this? MS is in a league of it's own when it comes to ripping off it's customers, lems need to stop spewing this nonsense that all corporations are the same. Theres a diference between looking for a fair/smart profit and ripping your customers off. All companies do not rip off their customers.
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delta3074

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#48 delta3074
Member since 2007 • 20003 Posts
[QUOTE="delta3074"]evry company does this, it's basic business economics, PROFIT=SALES-PRODUCTION COSTS, evry companys aim is to keep costs low and sales high to increase the return on there investment, this sort of thing has been goin on since the stone ages, nothing new here, and anyone who thinks SONY and NINTENDO wouldn't do the same is seriously deluded and it's good business for the many people who work for microsoft who's jobs are now secure, most of who probably have mouths to feed, you see, i can spin it the other way,lolEddie-Vedder
What world do you live in? How does every company do this? MS is in a league of it's own when it comes to ripping off it's customers, lems need to stop spewing this nonsense that all corporations are the same. Theres a diference between looking for a fair/smart profit and ripping your customers off. All companies do not rip off their customers.

i live in the wold where i did a BTEC national diploma in business and finance, including marketing and consumer legislation, during my spare time in the army, i am 35 years old and i have seen many company's 'rip off' there customers, the PS1 was 400 quid when it first released here and the dream cast was actually cheaper than the ps1, the PS2 was 400 quid when it first released here, the PS3 was 500 quid when it first released here, the 360 was 280 quid when it first released here, who's ripping off who?, if it wasn't for MS i wouldn't have been able to afford a next gen console, i live in a world where business means to make money, you live in a world where MS is bad because SONY apparently does charity instead of good business, and to quote an old english saying ' you have only been ripped off if you feel you have been ripped off' even after reading this, i don't feel ripped off
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micky4889

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#49 micky4889
Member since 2006 • 2668 Posts

[QUOTE="Eddie-Vedder"][QUOTE="delta3074"]evry company does this, it's basic business economics, PROFIT=SALES-PRODUCTION COSTS, evry companys aim is to keep costs low and sales high to increase the return on there investment, this sort of thing has been goin on since the stone ages, nothing new here, and anyone who thinks SONY and NINTENDO wouldn't do the same is seriously deluded and it's good business for the many people who work for microsoft who's jobs are now secure, most of who probably have mouths to feed, you see, i can spin it the other way,loldelta3074
What world do you live in? How does every company do this? MS is in a league of it's own when it comes to ripping off it's customers, lems need to stop spewing this nonsense that all corporations are the same. Theres a diference between looking for a fair/smart profit and ripping your customers off. All companies do not rip off their customers.

i live in the wold where i did a BTEC national diploma in business and finance, including marketing and consumer legislation, during my spare time in the army, i am 35 years old and i have seen many company's 'rip off' there customers, the PS1 was 400 quid when it first released here and the dream cast was actually cheaper than the ps1, the PS2 was 400 quid when it first released here, the PS3 was 500 quid when it first released here, the 360 was 280 quid when it first released here, who's ripping off who?, if it wasn't for MS i wouldn't have been able to afford a next gen console, i live in a world where business means to make money, you live in a world where MS is bad because SONY apparently does charity instead of good business, and to quote an old english saying ' you have only been ripped off if you feel you have been ripped off' even after reading this, i don't feel ripped off

The PS3 launched at £500?? Because i have a link that saysotherwise. And the PS1 launched at £400 ?? Was it not £299 just like the PS2 ??I'm sorry but i can't take you seriously, someone who has to inflate costs and skew facts in order to make a point, is not a person worth debating with.

Edit: That last part is my opinion on people in general and is not directed at anyone in particular.

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Eddie-Vedder

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#50 Eddie-Vedder
Member since 2003 • 7810 Posts

[QUOTE="Eddie-Vedder"][QUOTE="delta3074"]evry company does this, it's basic business economics, PROFIT=SALES-PRODUCTION COSTS, evry companys aim is to keep costs low and sales high to increase the return on there investment, this sort of thing has been goin on since the stone ages, nothing new here, and anyone who thinks SONY and NINTENDO wouldn't do the same is seriously deluded and it's good business for the many people who work for microsoft who's jobs are now secure, most of who probably have mouths to feed, you see, i can spin it the other way,loldelta3074
What world do you live in? How does every company do this? MS is in a league of it's own when it comes to ripping off it's customers, lems need to stop spewing this nonsense that all corporations are the same. Theres a diference between looking for a fair/smart profit and ripping your customers off. All companies do not rip off their customers.

i live in the wold where i did a BTEC national diploma in business and finance, including marketing and consumer legislation, during my spare time in the army, i am 35 years old and i have seen many company's 'rip off' there customers, the PS1 was 400 quid when it first released here and the dream cast was actually cheaper than the ps1, the PS2 was 400 quid when it first released here, the PS3 was 500 quid when it first released here, the 360 was 280 quid when it first released here, who's ripping off who?, if it wasn't for MS i wouldn't have been able to afford a next gen console, i live in a world where business means to make money, you live in a world where MS is bad because SONY apparently does charity instead of good business, and to quote an old english saying ' you have only been ripped off if you feel you have been ripped off' even after reading this, i don't feel ripped off

Wtf dude? expensive =/= rip off. The PS3 was launched and sold at a loss, still is, Sony is LOSING MONEY selling these consoles, their basicly paying for a part of the console with us, MS is charging 2500% more for wifi, how is taking a loss and selling something for 2500% profit the same? Ripping off has to do with the actual cost of the item, it's the relation of cost/value not just how expensive it is... Or if there are alternatives, like Sony allowing 3rd party acessories, headsets, HDD's, driving wheels, controllers etc etc vs MS's monopolistic way of doing business. Saying all business are the same is just a black and white view of the world and it's just wrong, it's more complex then that.