Despite bringing in the makers of Call of Duty as part of Xbox Game Studios, and firing thousands of people for cost-cutting measures, it seems Xbox is still stuck in the mud when it comes to its finances.
In Microsoft's latest financial report, it definitely feels like the black sheep of the family. Overall, Microsoft boasted a 17% jump in revenue compared to last year, earning $81.3 billion. Cloud and AI were huge reasons behind this, but when we look at something like Xbox, we see its stats are actually dropping.
Microsoft's gaming revenue has fallen by 9% year-on-year, with Xbox content and services revenue falling by 5%. Things are much worse when we look at hardware, which took a 32% hit during the most recent quarter. We don't have specific figures here, but it doesn't look good no matter which angle you take a figure like this from.
Xbox still looks to deliver a potentially outstanding 2026 when it comes to software, though. With Fable, Forza Horizon 6, Gears of War: E-Day, and Halo: Campaign Evolved all set to launch this year, perhaps a comeback is on the cards. Right now, though, it seems the green team is once more on the backfoot.