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Microsoft to Lose $1 Bln on Xbox by 2004 -Analyst

Time: 12:49 EST/17:49 GMT | News Source: Reuters | Posted By: Byron Hinson

Microsoft Corp could lose as much as $1 billion on its new Xbox video game console before breaking even in fiscal 2004, an influential Wall Street analyst said on Monday. Morgan Stanley analyst Mary Meeker said the console faced competition in the short term but had long-term opportunity. "We believe that Xbox could lose around ($1 billion) ... before breaking even in (fiscal 2004) if the product is reasonably successful," she said in a note to clients. The Xbox launches in the U.S. on Nov. 15, in Japan in February and in Europe in March. Three days after the Xbox's U.S. launch, Nintendo Co Ltd. 7974.OS will launch its new console, the GameCube, in the United States. Those two new consoles will compete with the already established PlayStation 2 from Sony Corp, a unit analysts and industry observers expect to dominate the market this holiday season.

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#276 By 4240821 (80.73.244.53) at 11/15/2024 2:23:42 PM

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