Microsoft has released Q1 2023 financial report and announced that Xbox revenue has increased by 1%. Xbox hardware revenue has also increased by 13% but Xbox content and services revenue were down by 3%.
Microsoft expected a significant decline when the 2022 Q4 financial report was released. Even with the decline, the financial report shows an increase in revenue compared to last year. Microsoft CEO Satya Nadella said the decline was partially offset by the increased number of Game Pas subscriptions, saying “more than 20 million people have used the service to stream games to date.”
Microsoft did not give any numbers regarding the Game Pass user numbers, but the company said PC Game Pass subscriptions increased 159 percent year-over-year. A few weeks ago, during the investigation of the $68,7 billion Activision Blizzard acquisition, Brazilian regulators shared an official report release stating that Xbox Game Pass earned over $2,9 billion in 2021 without PC Game Pass revenue.
In the financial report, Microsoft declared $50.1 billion in revenue with an 11% increase year-over-year. while the net income showed a 14% decline.