Microsoft posted its fourth quarter earnings earlier today, revealing that Xbox content and services revenue increased by 65% ($1.2 billion) year-on-year for the three month period ending June 30, 2020.
In a press release, the company explained that the increase was primarily due to record engagement, including strength from third-party titles, as stay-at-home guidelines continued. Xbox hardware revenue also increased by 49%, primarily due to an increase in volume of consoles sold.
Altogether, the company's gaming revenue increased $1.3 billion or 64%, obviously driven by said growth in Xbox content and services. A fantastic few months for Xbox all around!
What do you make of these figures? Give us your thoughts in the comments below.
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That’s a lot of money for a console maker in “third place.” I’m glad the gaming industry is healthy enough to sustain 3 console makers.
So Xbox is actually beloved, healthy and profitable, huh? Who would have thought on PS and NL...
They sold many Xbox one x in a sale in the UK before discontinuing the console so I guess that help and also the cyberpunk special edition. They went in one day.
@Dezzy70 Most of all, the epidemic.
@Dezzy70 indeed mate, I actually got my Robot White Xbox One X for just £240 at the start of June, could not believe the price. Just as well I did given the discontinue. So glad to be back with Xbox - the One X is a fantastic machine and glad to see the brand thrive considering all the pro consumer moves its made in the last few years.
@BlueOcean Legit saw someone claim Spencer has messed up the XSX as bad as Mattrick did the Xbone launch, and that he was surprised Xbox hasn't had an executive purge after how bad the Xbone has done.
Obviously couldn't back it up, got defensive, and said he didn't need to back up his opinion.
I'm starting to worry that if PS is ever second to xbox, or God forbid, third to both, that these people may actually hurt themselves.
@BlueOcean there has been too many dramas on here recently about those two sites don't stoke the fire. Lol.
@Richnj PS3 was second to Xbox 360 for ages. The world carried on and no one hurt themselves.
In fact this gen Xbox wasnt third not for me anyway. Nintendo has been in its own space for a while now. That bridge between console and handheld that its almost in a different market.
Its been more the case I think that anyone trying to break in and disrupt their markets has had a hard time of it. Especially in recent times. Hello Stadia.....
@Jaxx420 I'm not doing that, just pointing facts out. Is it that bad being positive about Xbox with 10% of sarcasm after what we have read?
@Richnj @Jaxx420 PS3 was third software-wise and hardware-wise. When the generation was ending they barely overtook Xbox 360 with the cheap PS3 revisions.
@Jaxx420 There was a healthy amount of denial too. It went from "PS3 has sold more units in the same period than 360" to "PS3 won in the end".
Make no mistake, PS fanboys (and I do mean fanboys and not normal fans) were hurting during that gen. It was impossible to visit a PS site that gen without full on unprovoked insults towards xbox and its owners down in the comments. It was only during the PS4 days I'd started to brave them again, though given recent changes they are slipping back. I think I've seen "Philled Sphincter" at least a dozen times the last week.
And as someone that still owns and enjoys a Wii U, I just can't understand or stomach the mentality.
@BlueOcean Nothing bad about being positive about Xbox at all. Just been far too much agro in threads about Pushsquare in the last few days. If its that bad the less its mentioned in here the better causes too many arguments.
@BlueOcean I think Xbox 360 was 1st and PS3 2nd that gen. For me that gen was the first gen Nintendo went in a different direction and into a different marketspace.
@Richnj Fair point. Ive had both since OG Xbox and I wont be changing that. But I have lost count of the times I have made a neutral comment on a site and some raging fanboy has tried to tear me a new one over something really minor.
I even had someone on an Xbox site years ago put to me that "Xbox controller is bigger. Bigger than yours. Bigger controller bigger.... you get the rest"
Fanboyism is toxic everywhere. We see more of it within Playstation perhaps but it is everywhere.
@Jaxx420 @BlueOcean Well this is kinda my point, you can use a dozen different metrics to measure the success of a console. Total units sold, units sold per period, units sold in the same period of the life cycle, total revenue, etc. But usually the metrics chosen by the other guys are just the ones that look the best. Like the aforementioned user I talked about, was claiming XSX launch was a mess because PS5 had record breaking likes on social media. It's a weird hill to die on.
For me, my measure of consoles is usually, my personal enjoyment, is it profitable for the company, and has it had a long a full life. When talking about a gen like the 7th gen, the answer is yes, to all of these for every console. There shouldn't be the need for war over that gen. But yet there was loads of it.
And yeah, fanboyism is everywhere, I do think it gets the worst on the PS side purely because its fanbase has had so much success that even a wobble like the PS3 scares the hell out of them. And I do believe that's what's happening now. There's a lot of fear that the PS5 might potentially struggle, especially with the Switch doing great and Xbox gearing up with some pretty game changing launch ideas.
@Jaxx420 I don't think there's any agro in my comment and I don't like being called out for nothing, sorry.
"So Xbox is actually beloved, healthy and profitable, huh? Who would have thought on PS and NL".
@BlueOcean I don't read aggro in your comment, just frustration, and I don't blame you. It would really be nice if all fans could wish each other well and just simply enjoy gaming on their platform of choice (or try more than one like some of us do!). Hardcore Fanbois (and girls) always bring gaming down a few pegs from what it could be.
Makes me wonder what Sega vs Nintendo wars would have looked like in the 90's if the internet had been around. I mean debates at school could get pretty spicy... (MEGADRIVE FTW!)
@Richnj Well, that guy used Instagram's memes about PS5 as an example of sky-high media engagement achieved by PS5 and the 50 first comments were insulting Phil Spencer. I don't know what's going on but I've never seen so much hostility, it could be because PS5 may be the new PS3 like many people suspect?
For me, Wii U was great until it was abandoned by Nintendo and this generation, for once, I got all consoles (except Vita) but after seeing all this and I don't have so much time for games anyway, I might just get one console next generation and that's it. I still can use current-gen consoles anyway.
@TanaD Thank you!
I was SNES team when I was a little kid but I usually had dreams about playing Mega Drive because most of my friends at school had Mega Drive and I loved both consoles 😉. The Sonic trilogy (& Knuckles) has wonderful graphics, music, and gameplay.
@BlueOcean Thats not calling you out. You misunderstood me.
The agro I was referring to wasnt caused by you. What was I getting at was it might draw those people out. Seen too many threads ruined recently by them. Rather talk Xbox than bring those sites up again.
@BlueOcean Hah, you have fine taste my friend, Sonic 3 + Knuckles is perhaps the finest moment of the megadrives existance (imho) and Sonic & Knuckles is the best birthday present I ever got as a kid, well maybe that and Pirate Lego! But likewise when SNES came out with Starfox and Donkey Kong Country oh how I wanted one. Maybe I'll pick up a SNES mini one day and fulfill that dream
@TanaD Probably more mellow. Sega vs Nintendo was more aggressive back in the day as people went at it in person. Lol.
@Jaxx420 Aye, no keyboard warriors to deal with
@TanaD I totally agree, Sonic 3 & Knuckles is the finest thing. Much better than Sonic cough Mania... One thing I love about those games is the music, the physics and how you are able to run, dash, roll... Every time you play the same stage is a bit different because of that freedom. Also, Angel Island Zone is the best thing ever .
Great news for Xbox. Gaming is doing well across the board. The big three are cleaning up! 💪
I think these results make it easier for Phil to pitch that WB Games acquisition to Amy Hood. I mean Xbox is going places.
It’s clear that the entire industry is doing great, so that it 👍🏻 for all of us.
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