Nintendo Sony Microsoft Hardware LinesForbes takes stock of Microsoft and asks what the behemoth is gonna do about some of its woes. The biggest problem facing Microsoft is its size. At 60,000 employees and $40 billion in revenues, the company isn't as nimble as it once was, and newer products are not yet earning the company much money. The Xbox division in particular has lost Microsoft $4 billion in four years according to Forbes.

Forbes also says that the Xbox division isn't yet in the black, but we've seen evidence to the contrary. Well, one thing's for sure, the launch of the Xbox 360 is going to cost Microsoft dearly. If the Xbox division managed to eke out a profit in a previous quarter, it's certainly not in the black now, what with the cost of hiring fly booth babes and all.

This article was originally published on Joystiq.