Microsoft’s Gaming Revenues Surge with Call of Duty and Diablo, Yet Xbox Hardware Sales Slump

Microsoft’s Gaming Revenues Surge with Call of Duty and Diablo, Yet Xbox Hardware Sales Slump

Spread the love

Microsoft’s latest financial results reveal a 52% increase in total games revenues, driven by titles like Call of Duty: Modern Warfare 3 and Diablo 4. However, Xbox hardware sales see a steep 31% decline, marking the steepest drop since the launch of Xbox Series X|S. Here are the key numbers:

Microsoft’s Gaming Revenues Surge with Call of Duty and Diablo, Yet Xbox Hardware Sales Slump

The numbers

For the three months ended March 31, 2024

  • Revenue: $61.9 billion (up 17% year-on-year)
  • Operating income: $27.6 billion (up 23%)
  • Net income: $21.9 billion (up 20%)
  • More Personal Computing (incl. Xbox) revenue: $15.6 billion (up 17%)
  • Gaming revenue: Up 51% year-on-year
  • Xbox content and services revenue: Up 62%
  • Xbox hardware revenue: Down 31%

Microsoft anticipates further growth in Xbox content and services revenue, expecting it to grow by more than 50% in the next quarter. However, hardware revenues are expected to continue declining. CEO Satya Nadella highlights the benefits of releasing Microsoft-owned titles on other platforms and acknowledges both the gains and costs associated with acquiring Activision.

Scroll to Top