Xbox Hardware Revenue Is The Zeno's Paradox Of Gaming
Kotaku • • technology
Key Points:
- Microsoft reported a 32% decline in Xbox hardware revenue for the second quarter, continuing a consistent downward trend since the Xbox Series X/S launch.
- Xbox content and services revenue fell 5% year-over-year, attributed to a lack of strong game releases near the end of 2025 compared to the previous year.
- Despite releases like Ninja Gaiden 4 and The Outer Worlds 2 in holiday 2025, the gaming division overall saw a 7% decline in Q2, with underperformance from Call of Duty: Black Ops 7 and a major Game Pass price increase potentially affecting subscriber retention.
- Microsoft has not disclosed new Game Pass subscriber numbers, leaving uncertainty about the impact of recent changes on its gaming ecosystem
