Microsoft's pockets not so deep for the Xbox 360 division

kittoo - 447 days 8 hours ago

Tomb raider Underworld DLC

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alexM - 447 days 8 hours ago

MS will go the way of Ford/GM/Lehmann

SONY is 2x as big as MS in total assets

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Genesis5 - 447 days 8 hours ago

Sooner or later they are going to have to stop writing cheques to third party developers. This isn't going to work the way they are trying to grab market share by buying it. They are not going to get back the 50 mil they spent on DLC for GTA IV and how much did they spend on TR. I know they didn't get it for free because SCI has been on deaths door for the last year.

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Captain Tuttle - 447 days 8 hours ago

Year of the PS3

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Variable - 447 days 7 hours ago

And Unreal Tournament 3..

Not to be a fanboy or something, but there are a lot of ex-PS3-exclusives coming out for 360 now. Can't say the same for 360-exclusives (Gears PS3, WHERE ARE YOU :'( )

;)

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Thoas - 447 days 7 hours ago

Something had to be happening at M$ for them to be selling all there first party game studios, I dont see Sony doing that.

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pwnsause - 447 days 7 hours ago

because of all these things they are paying for, now they are paying the price, killing off all their first party studios closing down.

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Bubble Buddy - 447 days 7 hours ago

"Not to be a fanboy or something, but there are a lot of ex-PS3-exclusives coming out for 360 now. Can't say the same for 360-exclusives (Gears PS3, WHERE ARE YOU :'( )

;) "

Sony believes in First-party exclusive for the near future and in my opinion I think they are right. Games are just to make now if they're horrible games. They have to put it in more platforms to get more money.

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Sofa King Retarded - 447 days 6 hours ago

I knew it would begin. Sony fans are already saying "2009 is teh year!"

what happened to 2008???????????????????

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juuken - 447 days 6 hours ago

Yep.

Microsoft is not made out of a mountain of cash. There will come a time when that cash runs out and the money tree backfires.

jaysquared: Stop denying it. You knew this was going to happen sooner or later. The PS3 is becoming the lead platform for multiplatform titles, developers are starting to turn heads...did you really think Sony was going to stay in 3rd place?

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jaysquared - 447 days 6 hours ago

Get use to it... Sony fans are always procralaiming when the PS3 will take the lead!

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beoulve - 447 days 6 hours ago

this year?? gaining momentum over XBOX 360

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mikeslemonade - 447 days 5 hours ago

This article is very important to show the xbox zealots the state of their company. Here is the difference the Microsoft cooporation is at a very good situation whereas Microsoft Game Studios is not so good as the company has not turned a profit. MGS has made profitable quarters but they are still in debt. Sony Computer Entertainment has PSP and PS2 that make money. Microsoft can easily shutdown MGS if they see fit as the division has not made money since it came out in 2001.

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DRUDOG - 447 days 5 hours ago

I guess the jokes on both of you since Tuttle isn't a Sony fanboy. I'm assuming that he was being sarcastic, but I wouldn't be so bold as to put words into his mouth.

Back to the point, I just don't understand how a company can basically sell off all of their "content" and we shouldn't think that there isn't something afoot. I would be surprised, more like shocked, if there wasn't another Xbox, but at the rate MS is going I'm not so sure it's going to happen.

They will always have some development because of the NA install base and "ease of coding" with it's similarity to PCs, but they are not setting themselves up for any sort of software success in the future on the 360 or a future console. Where do the new, exclusive IPs come from? Devs cannot ignore the PS3 any longer (I'm looking squarely at you Valve) since Pubs like EA already claim that they make more money off Sony's machine. The economy is definitely playing a part, but how much?

MS needs to get their house in order, because as much I dislike their business tactics, I do understand that gaming needs the competition that they provide Sony and Nintendo. It only benefits us gamers in the end...

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thewhoopimen - 447 days ago

Makes you wonder how MS is going to make any money this console season selling in the red again. Price drop, a jasper redesign, lowering live price, all going to cost even more money and less profit.

@previous posters.. I agree. First party titles are going to win the war.
Also as EA aptly noted, PS3 owners are profitable b/c the users generally can afford more. More likely to have a HD TV, more likely to have a surround sound system, more likely to own bluray discs.

Just like people who own D&G sunglasses, drive porsche(s), etc.

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SuperM - 446 days 21 hours ago

Actually what bothers me is the xbox live subscription fee... Thats where MS is actually making money. People willingly pay 50$ (more in europe) to MS every year which goes straight to their pocket... And what do they use it for? Buy DLC exclusivity which they would probably get anyway but they pay so that it wont come to ps3. So when you pay your live subscription you basically pay for that certain things will not apear on ps3... what a waste. The only usefull thing for the consumer that MS has spent money on is FF13 because they wouldnt have gotten the game otherwise.

I dont see MS ever dropping xbox live subscription though... It may make the console a little more desireable, but subscription fees are such a smart way of getting money out of people... They feel that they pay so little every month that it doesnt really matter. And before they know it they have payed way and i mean way more money for the console then its actually worth. Luckily PC gamers were smart enough to protest. And as you can see, pc gamers get it for free. But its to late for console gamers, there are just way to many people who subscribe to xbox live that MS will never be willing to cut the price. I just pray that xbox doesnt do to good this gen, because if they get 30 million ++ subscribers then thats going to be a goldmine for them, money which they can use on either screwing the competition over, or spend it on their selves and their internal development. I have a feeling they are going to keep using money to mess up for the competition rather then using it to actually develop games which would be good for the industry.

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DARKKNIGHT - 446 days 18 hours ago

i agree with you 100 percent. by me agreeing with you, this means that youre 95 % right.

Ive called several occurrences this gen WAYYYY before they happened. Thee rrod, the elite, the under the table m$ checkbook thing, viral campaigning.....even the mart, pog and firstknight.

Technically, the way i see it. ms tried to have superior hardware when it first came out.....they failed to make a big splash. now on the 360 theyre aiming to become greater than playstation by BUYING ips and timed rights. Basically focusing on software....YET Money only goes so far. Devs will take the bait, but the real treasures belie within the gamers that have stayed on playstations for 3 generations. the ones with the expensive setups, the ones that go out and get the blurays to view at 1080p, the gamers..... Look at vista, look at the zune. A company worth billions of dollars put out those s#itty products. A company worth billions of dollars force fed the public an illusion that the rrod never occurred.......until it was on every major site. M$ got caught RED handed AGAIN.

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AAACE5 - 446 days 17 hours ago

@Chaosatom... You do realize you sound like a little kid defending your favorite superhero right?

Show some maturity!

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Rooster15 - 446 days 13 hours ago

I've seen several posts from u man, and you always talk about "hate for sony", what about your hate for Microsoft. According to several sources: IGN, EGM, G4TechTV, I've heard that 360 sells are up and raising, that they sold more 360 consoles then ps3 consoles in North America AND Japan in the last quarter. Sony still sells thier console at a loss compared to microsoft making a steady profit (directly from the console).

I manage a gaming store so I can confirm that my profit on the ps3 is only .49¢ compared to the 19.98$ I make on a 360. If MS was losing money on the console I wouldn't be making 20$ profit off it. I'm lucking Sony lets me make .49$ on its console. I have to sell something else with it for it to be profitable. Sony is betting on bluray (why do think the ps3 came with SpiderMan 3 (bluray) last year) because thats what sells the system. and thats where they make thier profit, right now sony sees the ps3 as an investment, not a cash horse. why?...because they have the movie industry under its claws.

Open my eyes man and give me your sources...
I have both consoles and I always give an honest nonbiased opinon.

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Tarasque - 446 days 13 hours ago

You know it is sad when people are worrying about how much money MS has. How about stay out of the forums and go create some more kiddie levels for LBP.

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potenquatro - 446 days 12 hours ago

ford,gm,lehman????

Ford and GM have shrunk business in NA but actually grown worlwide especially in China and India. Lehman got lost in the biggest financial debacle in NA's history. How the hell can u compare those with MS???? And the the trolling fantards agree?? LOLOL. isn't this the year of the ps3? stop trollin and go play ps3 then. Who cares what MS makes? Gamers just want the games. In fact who cares if Lehman Bros. went bankrupt? As long as there is a bailout nobody can take away your loan.

@ above ^^: sad indeed. They're not intrested in gaming. They're intrested in one company beating another. Strange attitud when you consider that gaming was intended to take your mind off stupid mundane sh!t like "wich heartless corporation makes more money".

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FrankenLife - 446 days 11 hours ago

I have bought more games for my ps3 this year, and that will continue through next year. I am just a lot more exited my the coming ps3 games. Sure Gears looks great, and I will be getting it. I just don't think that there is much more than that right now. I may get Fallout 3 for the 360. But I am scared that my 360 will crap out on me. It is a launch system with no faults so far, but the warranty is about up, and I am occasionally getting the dirty disk error screen. I am afraid.

Uhhh you know that Ford had to sell jaguar and Landrover at a loss....

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potenquatro - 446 days 10 hours ago

Well aside from valve games, I havn't played alot of pc cause alot of the games it's getting i've already played on 360. I'm playing new 360 games, so, I don't get your "there's not much more then gears2 right now". I'm also playing more ps3 also if it makes you feel better :)
To each his own.

Uhhh Ford sold Jaguar at a loss cause Jaguar isn't selling. They might have to do that with Aston Martin too. But FORD CARS are actually selling more globally specially in China and India, but they're even growing in Brazil, with their sugar fueld engines and South America. In fact FORD is even trying to expand LINCOLN CARS in to China and Russia. I'm not a car freak or anything like that. I read the news paper. You should try it. What part of the U.S.A. having a "shrinking economy" don't you get? Just cause they're failing in NA doesn't mean they're bankrupt. GM and Ford are 2nd and 3rd respectively. Do you have any idea how many car makers are out there?

EDIT: The best FORD and GM cars you could ever buy(aside from mustang, corvette) are actually sold outside NA.

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alexM - 447 days 8 hours ago

atleast 50$ i guess

but MS isnt making any money now after 200$ arcade .
they sold their studios to make up for losses

MS lost 4B from x360 with 3B coming just from RROD

SONY will make money from HW and SW this Fall

MS only hope is Gears 2

However all of LBP/MS2 and R2 will sell 5m each

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name - 447 days 8 hours ago

Really now? Is that your final answer?

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meepmoopmeep - 447 days 8 hours ago

did you forget Xbox 1?

they're barely making $ from the 360 right now and it took them almost 2.5 yrs. to break even.

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UltimateIdiot911 - 447 days 7 hours ago

No, you're thinking of nintendo.

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Breakfast - 447 days 7 hours ago

xbox ONE
psTHREE

One brands reaching new heights, while the other one whithers away.

Dear, playstation fans.

Youre LOSING to a console with a 30% failure rate, low class games, and an abundance of hidden costs.

That says ALOT.

Love,

:)

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Bubble Buddy - 447 days 7 hours ago

Breakfast: PS3 was outselling 360 every month this year until the price drop. Now a 20GB 260 cost less than a Wii and PS2 is Almost that much. What does that tell you about the 360? If they were "winning", why drop the price down? Holiday season is coming, all consoles will be sold out. 360 and PS3 aren't gaining any money with each console sold. Wii and PS2 is profitable for Sony. 30% Failure rate because some people still love their 360 even if it breaks 10 times. >.>. Low class games? I loved the games 360 has to offer until about this year where only Gears 2 and Fable 2 is standing ground. Even if you say 360 is "winning" you have to admit PS3 is gaining steam.

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Breakfast - 447 days 7 hours ago

Im not saying the xbox is winning.
Im saying the PS3 is LOSING.

Sure Ill admit it.
The PS3 is gaining steam.
You got nowhere to go but up, when your in the dirt. lol.

Now you gotta admit this for me.
Playstation has lost all its steam, to the xbox division.

:)

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prunchess - 447 days 7 hours ago

Funny how it's mainly the US, Australia and UK market that are buying "a console with a 30% failure rate, low class games, and an abundance of hidden costs"

The rest of the planet seems to buy Sony....

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beoulve - 447 days 6 hours ago

not yet,prunchess , not yet..
The rest of the world is buying Wii/DS for now.
PS3 will be later.

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juuken - 447 days 6 hours ago

...No.

I am sorry.

This is not 2007. Sony is starting to make a profit with the PS3 and things are only going to get better going into next year. Hopefully the economy manages to stay together by then.

darkpower: Obama has my vote.

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darkpower - 447 days 5 hours ago

Yeah....that is why we all should vote for Obama.

And that's why I think we'll FINALLY see a black man as the president. It'll be an incredible site to see that an ACTUAL issue in the country can trump racism.

But I use your point to digress. Please continue.

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badz149 - 447 days 5 hours ago

if you started selling a full year ahead of your competitors and even over a year ahead in some places! but 'business 101' tells me that there's no need to cut prices if the demand is there and especially if you're winning! that seems like not the case with 360 currently and somehow they've managed to regain their sales after the price cut, (why not, it's already cheaper than Wii!) and currently going strong towards the holiday season! at least in NA, I can see that the 360 will 2nd the Wii again this holiday season! I've to admit that the $200 price gap is quite stiff to compete! but it's going to be an interesting holiday with lots and lots of great games coming out!

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RememberThe357 - 447 days 3 hours ago

Stop trying to piss people off...

EDIT: Obama '08

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UltimateIdiot911 - 447 days 2 hours ago

I agree with Obama being more of the same but I personally would have put my vote for Hillary. If Bill Clinton did a good job and behind every great man is a woman. Then Hillary, shouldn't be that bad, after all, NY didn't get screw after she became senator.
So far, all I've notice is Obama is a good bser, and Mccain knows his stuff but doesn't have the best policy in the world.

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MRMagoo123 - 446 days 22 hours ago

There are alot of aussies that bought ps3s too you know i bought one at the midnight launch only the dumb ones bought a 360 and also the ones that couldnt wait till the ps3 came out.Im glad i waited cos it was well worth it.Ps3 is gonna beat 360 and when it does i shall rub it in all the 360 fanboys that said itll never happen (POG,Firstknight and the rest of those nutcases)

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Cenobia - 446 days 13 hours ago

"Youre LOSING to a console with a 30% failure rate, low class games, and an abundance of hidden costs."

Wow...just wow. I can't believe you are willing to admit all of that and are still on your knees sucking Microsoft's genitals. You are the definition of a fanboy.

You're a tool, and you know it. Keep sucking though. I'm sure Microsoft will fill you with that "satisfaction" you need eventually.

Moron.

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Milo Garret - 446 days 9 hours ago

Stop insulting people, I see you fücking everywhere trying to appear clever, but clearly you're just some insecure dude behaving like a badass online because your real life is too sad.

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Nelson M - 447 days 8 hours ago

Has come out of the Forums to say somthing
Must be really important
Pity i cant be bothered to read it

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meepmoopmeep - 447 days 8 hours ago

they're not making boatloads of $ on the 360 hardware sales.
this is an accumulation of hardware, software, and peripheral sales, + Live.

that $1B for warranties sure hurt them as well.
neither is the $50M(edit:P) the put out for GTA DLC and other business dealings we don't know about.

but like you said, it's part of the console business.
i wouldn't be citing the PS3 if you're not adding the past generations into the mix.
we're talking about the platform business, not generation exclusive.

i doubt MS made the $ back they lost on Xbox 1 yet.

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Firstkn1ghT - 447 days 8 hours ago

I was about to write that same thing. Thank God we still have some smarts on this site.

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uxo22 - 447 days 7 hours ago

Thanks man for at least providing links with the comments you make. More people on this site (A LOT MORE) need to follow your example.

Sometimes I read the stuff I see on this site and say to myself "Wow, how do so many ordinary everyday Joes know so much about large corporations like Sony and Microsoft.

It's refreshing to see someone supporting their comments. What's more incredible is the number of disagrees your comment got while comments made with no links as proof got agrees.

Bubbles up!

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Why o why - 447 days 7 hours ago

birds of a feather................

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alexM - 447 days 8 hours ago

due to price drop in shares

FORD /GM/LehMANN gone

MS is next

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FBI - 447 days 7 hours ago

Your other personality,PP,was banned for being a racist.

You are now under the watchful eye of the FBI

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TheMART at Xboxkings - 447 days 7 hours ago

FBI, figure out this one:

alexM = Nasim

Also having names as:

Tanod/Shmee/Lenhart/Zbimbo

And more and more. Most funny thing is, you can tell its Nasim by his way of writing and even better... The dumb ars keeps PM'ing me with his new account always when one of my posts pissed him off again hahaha

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Montrealien - 447 days 7 hours ago

AlexM! where have you been?! it has been a while...

*cough* NAsim *cough*

I have a question for you, since you seem so versed in the wonderful world of business. How much money has Sony lost with the PlayStation 3 in the past 5 years? And also, how much have they made with the PS2?

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Killjoy3000 - 447 days 7 hours ago

And Mart, figure this out.

GiantEnemyCrab = The Mart
power_of_Green = The Mart
GiantEnemyLobster = The Mart
Siligon = The Mart
Omega24 = The Mart

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Pain - 446 days 14 hours ago

are sick of the Xbox cash sink. so this isnt new.

Sofa King Retard Xbox fan reported as Offensive.

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morganfell - 447 days 8 hours ago

So are Silicon Knights, makers of that great flop Too Human:

http://www.joystiq.com/2008...

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Montrealien - 447 days 7 hours ago

morgan, you seem to not be aware of how the business works. How many people where laid off like this after games like Halo 3 and MGS4 where launched? you should look it up. Silicon Knights are fine, if you knew what you where talking about you would know this, don't you have amazon sales numbers to keep an eye on? ;P

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Shane Kim - 446 days 22 hours ago

Yeah right, temporarily hahahaha.

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FBI - 447 days 7 hours ago

Handled

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Shane Kim - 446 days 22 hours ago

Thanks guys really appreciate it.
*Crouches in a Gollumly way, watches his welfare check and screams* My precious.

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zo6_lover27 - 447 days 5 hours ago

:)

I like you

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FBI - 447 days 7 hours ago

You're under arrest mr.cyber terrorist

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rhood022 - 447 days 7 hours ago

The article never said nor implied that MS was broke. All it said is that the Entertainment and Devices division was clamping down it's spending.

What this article is doing is dispelling the notion that the game's division has unlimited income for things like exclusive content purchases or even buying timed exclusivity for certain titles.

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morganfell - 447 days 7 hours ago

Is PSOT a new acronym? Doesn't it stand for Pinhead Spelling Overrides Thought?

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Montrealien - 447 days 7 hours ago

your so right, 100 million licenses = nobody....

also welcome to N4G!

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Narutone66 - 447 days 3 hours ago

for XP: http://www.crn.com/software...

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silverchode - 447 days 5 hours ago

i would rather have sega than ms.

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Ramzadel - 447 days 4 hours ago

My point exactly!!! Bubbles for you!!! =)

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silverchode - 447 days 5 hours ago

how many gigs did it take?

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Shane Kim - 446 days 22 hours ago

More like, how many hours for you to download. You go ahead and watch that semi-HD on your sh!tb0x.

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Killjoy3000 - 447 days 5 hours ago

Exactly. It' just like Dr. Evil demanding "One-Huuuundred Brillion Dollarsh!!"

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PopEmUp - 446 days 17 hours ago

have game to play I seen u like 24/7 on here no wonder u a noob and have no life

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