290°

Microsoft’s Surface and Xbox hardware revenues take a big hit in Q3

Microsoft just posted the third quarter of its 2024 fiscal financial results. The software maker made $61.9 billion in revenue and a net income of $21.9 billion during Q3. Revenue is up 17 percent, and net income has increased by 20 percent.

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theverge.com
darthv7225d ago

Xbox content + services up 62% while hardware down 31%... seems about right with the way they tout you don't need the hardware to play. People can play on their phones or smart tv or other means. I don't hardly play on my consoles directly since getting devices like the logitech g-cloud and ps portal. Which is to also say I have been playing more digital than physical because of these devices.

solideagle25d ago

you should apply in MS PR team buddy, I think you will do a great job in my humble opinion :)

Sonic188124d ago

I thought darthv72 and Obscure_Observer already work for Microsoft 🤔

dveio24d ago

MS: "Xbox services and content without AB up 1%, with AB up 62%. Hardware down 31%. In total a loss of 350 mill."

darthv72: "Seems about right."

MS: "Excuse m ..."

darthv72: "I don't hardly play on my consoles directly."

MS:

Lightning7724d ago

What he said was facts. How he plays games is no concern of you. Don't get too mad about it.

Cacabunga25d ago

I can tell people like you are an absolute minority..

If service is up means their fans and fanboys accepted this model and subscribed to it. The near future you will see a big decline because the service is saturated.

darthv7224d ago

to you it may seem like the minority... but your bubble is shrinking because more and more are following suit. convenience is a hell of a drug and its also why physical sales only amount to 30% of overall game sales. times are changing, you either get with them or you get left behind.

neutralgamer199224d ago

Darth

30% physical sales: yet Phil and xbox division are in a rush go give up on that 30%. they don't have any right to give up any piece of the pie since the control such a little of the pie to begin with

also, the market is clearly speaking that the model Xbox is pushing isn't working right now the keyword being right now. you are right about freedom to play anywhere so i hope they put their games on steam

shinoff218324d ago

But that's been ms for years. When things aren't going their way they try to change the way things are said. For instance console sales are down, they stop telling how many sold instead telling us how many hours spent in halo or headshots. So it makes sense console sales down just say people are playing on more devices then previous. What they won't say is how many xbox players jumped ship to ps5.

Cacabunga24d ago

Hardware sales are so bad that Sony and Nintendo are blowing the sales off the water with their hardware.

If Xbox are losers, others aren’t..
Xbox already tried everything with Xbox live then subscriptions went down so much that they had to find something else. Their fans subscribed then reached saturation rather quickly.

Hardware and exclusive games is where it’s at! Keep gamers excited, announce decent software and people will support you

itsmebryan24d ago

@shin
Well keep it simple Sony 's operating income is down 26% and Microsoft's is up 32%. No MS spin there, just facts. 😉
Cheers

S2Killinit24d ago

MS is after diminishing consoles as a medium. They want to destroy this market because they couldnt win. MS’s vision is to dissolve console gaming.

romulus2324d ago

Odd that a company that touts you dont need the hardware to play is already touting another console in the works.

darthv7224d ago

They are not reliant on the HW but still want to maintain a presence (no matter how small) is a good thing. It shows commitment to the craft. It reminds me of SNK and how they made games for their own hardware (Neo Geo) while also making them for others because they knew there was a market to do so. They knew they would sell more to others but also sell to their own niche fan base.

TheEroica24d ago (Edited 24d ago )

Perfectly reasonable post down voted by insecure corporation friendly folk.... But not gamers. Real gamer want accessibility and ease of acquisition for all.... Company shills are the only ones still telling us that hardware locking people from games is good for us.

Chevalier24d ago

@Darth

You should stop parroting metrics like an idiot without context.

"Xbox content and services revenue grew 62% in Q3 from a year earlier, “driven by 61 points of net impact” from the purchase of the third-party video game giant, Microsoft said."

61 of the 62% was from their merger so net increase is ONLY 1%

https://www.mesaonline.org/...

itsmebryan23d ago

@chevalier

It looks like made a great purchase. Much better then Sony buying Bungie. 😉
Cheers

+ Show (4) more repliesLast reply 23d ago
purple10125d ago

Xbox hardware revenue tanks to lowest point of Xbox Series generation

Profchaos25d ago

I'm not surprised surface is struggling they aren't relevant anymore

DOMination-24d ago

In the last two years they've started exiting the consumer market altogether. All of the newest Surface products are business models only. They can't seem to work out what they want to do with it.

XBManiac25d ago

Too expensive hardware when others offer the same or more for less? Good work, Green Team.

SimpleDad25d ago (Edited 25d ago )

"Despite some early successes for Xbox games on rival platforms, Xbox hardware is down by a massive 31 percent this quarter."
"Without Activision Blizzard, Microsoft’s overall gaming revenue would have actually declined this quarter."
"Xbox content and services would have only been up a single percent without Activision Blizzard..."
"It looks like next quarter is going to be a similar story for gaming at Microsoft, too."

That is crazy... so A/B/K is carrying the whole Xbox gaming.
Oh and Microsoft will be fine. Windows, Office and Cloud are growing with each pc purchase.

purple10125d ago

Activision: "we gonna need a bigger rucksack/backpack please"

Microsoft: "why's that"

Activision: "to carry yo' weak ass'

Profchaos25d ago (Edited 25d ago )

Top brass have also wanted to start seeing returns on the 100 billion they have put into various Xbox related moves so seeing more multiplatform games is highly likely especially from abk

It's basically saying that PlayStation is the reason Xbox is afloat right now thinks to Ps5 versions of COD

Kornholic25d ago

So basically PS and PC gamers' money is keeping Xbox on life support.

MrDead24d ago

The only growth MS will get out of the console industry is if it supports it's rivals platforms. Xbox is a pointless machine now. I can see them on a big push for live next, and they won't give up on trying to buy Steam.

+ Show (1) more replyLast reply 24d ago
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120°

Microsoft to Add Copilot AI to Video Games

Microsoft recently revealed its plans to incorporate Copilot directly into video games, with Minecraft being the first showcased example.

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xpgained.co.uk
Fishy Fingers12h ago(Edited 12h ago)

F*** AI

"Hey Copilot, what's a good meme to prove I dislike AI".... https://giphy.com/clips/sou...

Einhander197212h ago

Two trillion dollar company that just can't wait to put as many people possible out of work as fast as possible.

It feels like every single thing they do is making gaming worse and destroying the industry.

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CaptainFaisal1h ago

Why all the hate? Im actually excited about this! Always wanted this kind of immersion, and an AI companion with me all the time helping me out knowing the status of my skills/inventory/progress and giving me tips on the best approach or how to craft something specific is game changing for the industry.

Hate all you want about AI, but this is just the start and I can see the potential already. You wont be complaining in the next 5-10 years about this, but rather complain if a game hasn’t implemented it.

MrDead1h ago

Yes we can't wait for the work of others to be used without the need to pay them so that MS can profit even more from the people they fire.

I_am_Batman1h ago(Edited 1h ago)

There is no chance I'd ever use something like this, especially if it's not part of the core game design, but a layer on top of it. It's way too much handholding. Many games already feel like busy work, because they don't let the player figure things out on their own. Having a real-time interactive guide defeats the purpose of playing the game in the first place in my opinion.

If this were to become the standard like you predict, we'll see more and more video games get away with bad design, because people will just be used to ask for help from the AI companion anyway.

Number1TailzFan32m ago

Well Nintendo don't need this with some of their games these days, with invincible characters, items, easy bosses etc.. they do the hand holding built in

helicoptergirl57m ago

Takes "hand holding" in games to a whole new level.

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170°

Take-Two Mandate on Microtransactions: Over-Deliver on Content and the Monetization Will Follow

Take-Two Interactive states their edict on microtransactions has been to over-deliver on content, and the monetization will follow.

lucasnooker11h ago

Warning. Boatloads of micro transactions coming for GTA VI

porkChop10h ago

To be fair, while GTA Online is monetized heavily both GTA Online and GTA V offer a massive amount of content without paying anything extra. Though I do think GTA Online's optional subscription is bullshit.

Profchaos4h ago

GTA online was luck though we can see that with rdro Rockstar keenly priced their mtx content to exploit money over people grinding and it felt pay to win at least in its first few months

neutralgamer19929h ago

Can you please focus on delivering enough quality content to justify the $70 asking price? While I appreciate the idea of over-delivering, it's essential to ensure that the base content itself is worth it. I have concerns that GTA6 might have less single-player content because most of the focus seems to be shifting towards online play and microtransactions.

It's understandable why publishers are capitalizing on microtransactions when they generate billions with relatively little effort compared to traditional content creation. We, as consumers, are partly responsible for this trend. I've seen people spend on FIFA cards as if it's a normal part of the game. Previously, features like player cards and big head mode were earned through gameplay or cheat codes, but now gamers are willing to pay for them, so publishers have no reason not to monetize these features.

It's astonishing that the gaming industry is now more profitable than any other entertainment sector. Yet, despite record-high profits, the industry continues to see increasing levels of greed. It's baffling to hear about record profits followed by significant layoffs of developers. This disconnect makes no sense.

I know it’s unlikely given the size of the industry, but it might take a significant downturn for things to reset. Currently, there are too many decision-makers who lack a genuine understanding of gaming, focusing only on financial spreadsheets. A prime example is Andrew Wilson, the CEO of EA.

RhinoGamer889h ago

It must be a nightmare working at Rockstar in a Production role...dealing with the team egos and those of the V suite. #soulcrush

-Foxtrot8h ago(Edited 8h ago)

The thing is doesn't that just give studios the excuse of filling their games with content that’s just going bloat it rather than contribute towards the main story.

Ubisoft games for example with all the markers where 90% of it is just padding or useless crap.

Or maybe they design the game in a way that makes it feel longer but it’s because they’ve created it in a way where you are spending most of your time backtracking with spaced out unlocks that help your reach new areas or even having to do a bunch of platforming / parkour to get around. Jedi Survivor was the first game recently that’s made me think “ we didn’t need all this, it should have been more linear”.

It gets tiring

PRIMORDUS6h ago(Edited 6h ago)

I that's fine I can take all the DLC for when GTA 6 comes on PC for free, by torrenting of course. LOL You all know this game no matter the protection (unless SP will be online only) will be on top of every Scene groups list to crack. I cannot stand Take-Two. I would tell off that CEO shit bag I'm taking your game for free ain't nothing can be done about that🤣

Crows906h ago

I guarantee that the same people that broke the law while weed was not legal will tell you how bad you are....lol

PRIMORDUS6h ago

I do by PC games, but not many, there are some companies that are pieces of shit like Take-Two, Rockstar I'm not too fond of either that I don't care what I do or say to them. There is too much bullshit with all these microtransactions, DLC, etc. and I will never pay for that. 😎

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240°

Senua's Saga: Hellblade 2 launch trailer will send shivers down your spine

Ninja Theory's latest trailer for their highly anticipated narrative action-adventure Senua's Saga: Hellblade 2 is absolute cinema.

Reaper22_13h ago

Like I said before, buying Ninja Theory was one of the smartest moves by Microsoft. Games looks incredible.

Rynxie10h ago

Unfortunately, their games aren't big sellers. Will MS shut them down if hellblade 2 sells below expectations?

outsider16247h ago

If it sells below expectations, then i expect it to come to PS5.

Elda7h ago

The game may be a critical hit & still can get shut down. I highly doubt most XB owners will buy this game including the fact that it's digital only at $50. Most folks that have Gamepass will play the game through the sub service. If the reviews tomorrow are just average to low then that's another problem.

Obscure_Observer9h ago

"Like I said before, buying Ninja Theory was one of the smartest moves by Microsoft. Games looks incredible."

Indeed.

Just a few hours to go

I can´t wait!

z2g13h ago

badass. already installed via gamepass. if its as great as the first one I will pay for the whole game.

glenn19799h ago

I just don't understand why all the down votes

jwillj2k412h ago

Here we go again. Is this a game or a choose your own adventure???

purple10112h ago

if you choose left, turn to page 39, if you proceed forward, turn to page 43, to turn right, page 209, you finished the book early,

no but seriously this looks like Microsofts first hit, or should I say, first game of standout quality.

jwillj2k412h ago

Never questioned the quality. Question is will there be a need for the controller.

anast7h ago

The time machine 'choose your own' were awesome.

Tedakin10h ago

If it's anything like the first game, you will spend a lot of timing walking and solving puzzles, with some fights thrown in.

Elda12h ago

LOL! Didn't send any shivers down my spine but I'll demo it after midnight tonight through Gamepass to see what it's giving.

Obscure_Observer10h ago

After the midnight? I see...

Day one as expected for another game that you said you had zero interest.

Elda7h ago(Edited 7h ago)

Finally making a re-appearance. When the heat was on about XB closing studios you were crickets on all articles. Now that the heat has died down all of a sudden you're here on an XB exclusive article or should I say a timed exclusive...lol!! If you must know I can demo this game at midnight because the University I work at is closed for the summer so I can play video games until my heart's content until the end of August when I go back to work. That's what Gamepass is for, knowing I would not spend $50 on Hellblade 2 because the first one I thought was boring so I'm going to see if this one is still boring or is it interesting by demoing the game.

Elda7h ago

Why not I have a year subscription to Gamepass, I don't have to spend $50 on a digital only game that I may not like including I'm on a lengthy vacation from work.

rlow112h ago

It looks amazing, I’m hoping the reviews are solid. You can tell the studio really poured their heart and soul into this one.

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