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Microsoft pledges to cut Xbox costs

Time: 00:00 EST/05:00 GMT | News Source: The Register | Posted By: Robert Stein

Microsoft has "aggressive plans" to reduce the cost of goods sold in its Xbox division as part of a broad cost management exercise, CEO Steve Ballmer says. As it stands, Microsoft makes a significant loss - thought to be over $150 - on each Xbox console it sells, and the Home and Entertainment Division of the company, which houses the Xbox project, regularly turns in large quarterly losses as a result.

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