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I think it did OK in the states. The real problem was that the PS2 ended up being so phenomenally successful that the XBox looked terrible in comparison. By the end of the console's lifecycle it was a respectable machine. It had good games and defined the online experience with XBL.



Not to mention taking an initial loss was standard industry practice in the console industry.


Every company I know of other than Microsoft who did that is either out of business or Sony. As far as I am aware, Nintendo has never taken a loss on hardware, or at least doesn't make a habit of it.


Nintendo has always been an exception, every other console maker did it. Even Nintendo changed their tune for a while, taking a loss after the 3DS price cut.




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