Xbox Live worth over $1 billion

Can you believe an online service is worth so much money?  Well, I’m sure the fine folks behind World of Warcraft already knew that, but Xbox Live?  Really?  According to Bloomberg, it is.

We all know that Xbox Live offers users free and paid subscriptions, with the latter allowing early demo access and online gaming.  There are around 25 million users on Xbox Live, with at least half of those on the paid subscription.  Considering that a paid subscription for the service runs $50 a year (still a good price), you can imagine they are rolling in the money.  In fact, total sales including movie rentals generated more than $1.2 billion last year.  While these companies usually don’t make profit off of the consoles themselves for a long while, this extra income makes up for it.  And they say that piracy is hurting the business?

How about them apples.



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