Microsoft estimates lowered on Xbox sales concerns
Investment bank Caris believes Sony price cuts could lead to "modest market share loss"
Investment bank Caris has lowered it revenue estimates for Microsoft by USD 500 million based on its belief that slowing Xbox 360 sales will drag the software giant down from original projections of USD 12.8 billion to USD 12.3 billion, reports Briefing.com.
The bank believes that the slower hardware sales, while generally resilient in a tough economy, is also in part down to the aggressive price point strategy unveiled by Sony at this year's Gamescom event in Cologne last month.
According to the firm the Xbox 360 stands to lose "modest market share" as the full year revenue estimates falls by USD 800 million to USD 59.1 billion.
The company's share price rose slightly on the opening of the market today by 0.74 per cent to USD 25.96.