Microsoft gaming revenue up 50% thanks to Xbox Series X|S demand and Xbox Game Pass

Microsoft gaming revenue up 50% thanks to Xbox Series X|S demand and Xbox Game Pass

April 28, 2021 0 By admin

Microsoft has published its third-quarter results for its 2021 financial year, revealing that its gaming business revenue grew 50% year-over-year to $3.53 billion.

Microsoft Gaming Revenue Q3 FY2021

Xbox hardware revenue saw huge growth and was up 232% for the quarter, thanks to “continued demand” for Xbox Series X|S. During a call with investors, Microsoft CFO Amy Hood said that the company has continued to see “demand that significantly exceeded supply for Xbox Series X and S consoles” throughout the three-month period. Hood later noted that this “significant demand” for consoles “will continue to be constrained by supply.” It’s believed the console shortage could last until at least June.

Microsoft also reported that its content and services revenue grew 34% “driven by strength from third-party titles, Xbox Game Pass subscriptions and first-party titles.” The company did not reveal Xbox Game Pass subscriber figures this time around, but it’s believed that the number of subscribers has increased from the 18 million reported back in January 2021. During the call, Microsoft CEO Satya Nadella said that people “are turning to Xbox more than ever” and that the company “saw record engagement this quarter, led by strength on and off console.”

Nadella also commented on the success of Minecraft: “Minecraft is nearly 140 million monthly active users, up 30% year over year, making it one of the leading platforms in the creator economy.

“Creators have generated over $350 million from more than 1 billion downloads of mods, add-ons, and other experiences in Minecraft.”

You can view Microsoft’s FY21 Q3 report on the Microsoft website.

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