Microsoft’s latest financial report shows that Xbox hardware sales are still declining.
To be fair, all console makers are seeing a decline in hardware, which makes perfect sense – both Microsoft and Sony’s machines are entering their four-year life cycles, and the Switch is nearing the end of its life cycle – but Microsoft The biggest losses so far.
According to the report, hardware dropped 42%. Keep in mind that Microsoft also reported a 31% decline in its last fiscal quarter. In other words, the Xbox just wasn’t selling, although it’s impossible to get accurate figures because Microsoft didn’t report exact numbers for years.
The report attempted to counter the bad news by touting substantial growth in other areas, notably Xbox content and services revenue, which grew by 61%, and gaming revenue, which also increased by 44%. This growth is somewhat illusory, however, as it’s largely driven by the newly acquired Activision Blizzard. Essentially, almost all of the growth in content and services can be attributed to Call of Duty, World of Warcraft, Diablo, etc., all of which were airdropped directly into the Xbox ecosystem, allowing their numbers to grow significantly. .
Without the adrenaline rush, it’s hard to say how the Xbox would perform. Over the next few years, we’re going to really start to get better ideas.
CEO Satya Nadella says Xbox now has 500 million monthly active users across all platforms and devices, claiming their upcoming releases have “never been better” following a stellar showing in June Strong”.
She also discussed the success of the Fallout TV show and its impact on the game.
“Finally, we’re bringing our IP to new audiences. For example, Fallout debuted as a TV show on Amazon Prime this season. It’s the second most-watched game ever on the platform, and Fallout The game duration of the series on Game Pass has increased nearly 5 times month-on-month.
