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Nintendo’s Profits Jump $300 Million After Tariff Refunds And Strong Software Sales

Nintendo’s Profits Jump $300 Million After Tariff Refunds And Strong Software Sales https://ift.tt/qGf1OJR Back in August 2025, Nintendo increased the price of the original Switch console in accordance with ongoing tariffs, but after the US Supreme Court declared these to be unlawful, it didn't hesitate to claim a refund. With the release of its quarterly earnings (April 1 to June 30) for the current financial year, we now have a clear picture of just how much these refunds helped Nintendo, as it recorded a 52% increase in its operating profits year-on-year, totaling $300 million. It's worth noting that Nintendo didn't reach this figure purely with tariff refunds, as the company says that "solid software sales and the resulting increase in the proportion of software in net sales" also helped. The US tariffs--that Nintendo sued the US government over --were previously recorded as cost of sales, and Nintendo also noted that its gross profit margin increased b...
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Microsoft's Strategy To "Spend Sony Out Of Business" Revealed In 2019 Internal Email

Microsoft's Strategy To "Spend Sony Out Of Business" Revealed In 2019 Internal Email https://ift.tt/wxalQqO

As part of the ongoing trial between the Federal Trade Commission and Microsoft, an internal email from Xbox Game Studios chief Matt Booty encouraging Microsoft CFO Tim Stuart to "spend Sony out of business" has been made public. The email, which was sent in December 2019, explains Microsoft's aggressive acquisition plans, which almost resulted in the company purchasing Sega, Niantic, and Bungie.

In the email, first shared by The Verge, Booty writes, "We (Microsoft) are in a very unique position to go spend Sony out of business. If we think that video game content matters in 10 years, we might look back and say, 'Totally would have been worth it to lose $2B or $3B in 2020 to avoid a situation where Tencent, Google, Amazon, or even Sony have become the Disney of games and own most of the valuable content.""

Booty went on to explain how it is "practically impossible" for a company to start a new streaming service due to Disney's competitive holdings, before drawing a comparison between video streaming services and the future of the games industry:

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