XBOX might be a counterpoint, since it reportedly was a loss-leader in the beginning
FWIW, all consoles are loss-leaders in the beginning, and you make the money back in game license fees and relying on components becoming cheaper over time.
The only console maker that has bucked this trend is Nintendo with the DS and Wii; they always sold for a profit. That's why Nintendo doesn't care that the attach rate (number of games bought for the platform) is through the floor, because Nintendo already made their money.
I also agree that you can't beat Android in the race to the bottom.
FWIW, all consoles are loss-leaders in the beginning, and you make the money back in game license fees and relying on components becoming cheaper over time.
The only console maker that has bucked this trend is Nintendo with the DS and Wii; they always sold for a profit. That's why Nintendo doesn't care that the attach rate (number of games bought for the platform) is through the floor, because Nintendo already made their money.
I also agree that you can't beat Android in the race to the bottom.