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Labrish
Nyuuz
Microsoft cloud revenue surges while Xbox hardware falls
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[QUOTE="Queen, post: 85662, member: 27"] Microsoft’s money surged on cloud, while Xbox slid hard, dragged by collapsing hardware sales and softer Game Pass momentum. Big picture revenue split [LIST] [*]Microsoft grew its total revenue by 17 percent. [*]Overall haul reached $81.3 billion. [*]Cloud and AI drove gains. [*]Gaming moved in the opposite direction. [/LIST] Gaming division dip [LIST] [*]Games revenue landed at $623 million. [*]Year-over-year drop hit 9 percent. [*]Growth elsewhere did not offset it. [*]The slide surprised nobody. [/LIST] Xbox hardware trouble [LIST] [*]Xbox Series X/S hardware revenue fell 32 percent. [*]The prior quarter already showed a 29 percent fall. [*]Repeated price hikes hurt demand. [*]Sales momentum keeps weakening. [/LIST] Why consoles stalled [LIST] [*]Hardware costs jumped multiple times. [*]Players can access Xbox games without a console. [*]Black Friday sales lagged badly. [*]Nex Playground outsold it. [/LIST] Software and services slump [LIST] [*]Xbox content and services dropped 5 percent. [*]Xbox Game Pass failed to lift totals. [*]The prior quarter barely grew. [*]Price increases did not pay off. [/LIST] First-party success irony [LIST] [*]Forza Horizon 5 sold strongly on PlayStation. [*]That success did not save Xbox revenue. [*]Platform strategy keeps blurring. [*]Brand loyalty looks shaky. [/LIST] Executive spin and outlook [LIST] [*]Satya Nadella highlighted PC and cloud engagement. [*]Amy Hood warned of mid-single-digit declines. [*]Hardware revenue is expected to keep falling. [*]Gaming faces a rough stretch. [/LIST] [/QUOTE]
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Nyuuz
Microsoft cloud revenue surges while Xbox hardware falls
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