Xbox And Bing Businesses Should Live On, Believes Ballmer

Xbox And Bing Businesses Should Live On, Believes Ballmer

Some fragrances, of course, are sweeter than others. But other scents are necessary, even if their aromas may not yet be pleasant. Such is the case for Microsoft and its Xbox and Bing divisions.

Both businesses do not really bring in the necessary amount of dough — while Xbox more or less breaks even, Redmond’s search service consumes substantial sums of money every year in research, development and promotional efforts.

For this reason, there are some Microsoft shareholders (and influential) that think the company should get rid of these two businesses, and instead focus on its core competencies like software and cloud.

Not Ballmer, though — not Ballmer.

The outgoing CEO is all set to leave Microsoft in the coming months, and he uses all opportunities to talk about what could happen after he retires. At the company’s annual shareholder meeting on Tuesday, he said that both these business should live on, contrary to what some analysts suggest:

“Xbox One is a reflection of what is possible when a company, our company, is unified under a common vision. This is really a signature moment in the transformation of the company. Microsoft is uniquely positioned to drive and define the next big thing.”

Apart from seeing no reason to get rid of Xbox and Bing, Ballmer also explained that whoever comes in next will have to deal with future acquisitions with extra care. Bigger buyouts will have to be done with great thought and caution from now on.

  • Ray C

    It makes sense to keep Bing. Eventually they’ll reach the point where they don’t have to spend so much on research. Plus, it’s share is up to 25%. Why stop now?

  • Rodney Longoria

    If Bing were ONLY a search engine then fine — dump it. But it’s not. It’s the backend with a lot of app development potential, which these narrow-minded, immediate self-gratification idiots seem not to realize yet.

    Xbox is the hardware engine that does make money (through subscriptions, etc.) and could lead to some noteworthy innovations in the home. I think eventually it will, since it is not JUST a gaming console, after all. Fools!