Reported by 2 outlets
The story so far
AI summary of the reporting below · Updated · How we work
Microsoft revealed that total Xbox revenue dropped 2 percent year over year to $5.38 billion for its fiscal first quarter ended September 30. While that narrows a 10 percent decline from the prior period, Xbox hardware revenue fell 14 percent due to a lower volume of consoles sold. In response, Xbox leader Asha Sharma stated that consumer demand outpaces available inventory, insisting that console sales remain constrained by supply. [1][2]
Sharma noted that Microsoft is expanding its refurbishment program to put more units into players' hands ahead of an anniversary Xbox Series X launch in November. Financial officer Amy Hood explained that the broader quarterly dip stemmed from declines in Xbox Game Pass and third-party content. However, growth in first-party titles, double-digit PC revenue gains, and strong quarters for Minecraft and World of Warcraft: Forever partially cushioned the downturn. [1][2]
The latest quarterly figures arrive during an extensive internal restructuring led by Sharma that has eliminated more than 1800 jobs, with additional layoffs anticipated. Looking ahead, Microsoft chief executive Satya Nadella pointed to an upcoming holiday release slate featuring Call of Duty: Modern Warfare 4 and GTA 6, even as the gaming division continues working to stabilize its hardware footprint. [1]
Xbox leader Asha Sharma has claimed there's "more demand than consoles available" when it comes to Xbox, and that console sales "remain constrained by supply".
via Eurogamer
Microsoft's Xbox business is still shrinking, but the pace of that decline has slowed considerably, as reported yesterday. In the company's fiscal first quarter ended September 30, Xbox revenue fell 2% year over year to $5.38 billion, an improvement from the 10% decline reported in the previous quarter. Xbox content and services revenue also fell 2%, while hardware revenue dropped 14%.
via Wccftech