Microsoft/Xbox Q1 earnings FY 2022. Gaming Revenue increased by 16%

Clearly not sustainable.

:wink:

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45 billion that like 6 or 7 Bethesda worth in 1 quarter but it not sustainable lol

20b in profits. 45b is revenue.

OK so 2.5 Bethesda counting only profits lol still not sustainable lol

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Services and 1st party increased as well, but 3rd party declined bringing the total to flat.

But it does not necessarily mean that 3rd sales dropped, very likely big MTX games like fortnite and gta5 dropped engagement compared to last year with kids not staying at home anymore

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MS takes any business which makes more than 10 bn very seriously. Xbox guidance might be around 15bn annually

Expect them to make xbox a 20bn and higher business.

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That’s a relief, I’m glad Microsoft is gonna be ok.

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Why don’t people understand that this is comparative to the same quarter from the previous financial year and just reflects the titles available and content churn in longer standing 3rd party titles. This revenue is constantly changing over time and has nothing to do with gamepass.

It’s so depressing to read absolute drivel in hot takes to these financial reports.

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LOL :laughing: :rofl:

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Nadella also reveals “Bungie is relying on Microsoft’s cloud to scale and operate its games.”

That line is interesting (no not talking about them buying Bungie lol) I can see this being another big move in the gaming market people are oblivious too. MS would love to be the cloud partner that everyone in the industry goes to for stuff like servers and whatnot. I’m sure MS would love Game Stack, Azure AI and everything in between to become a good platform and go to for game devs in the industry.

There is more to gaming than selling consoles, games and subscriptions.

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Gamepass is just a proxy… Nadela wants entire gaming industry to run on the Azure. That is his true motive :stuck_out_tongue_winking_eye:

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You don’t need to think that because that is Microsoft’s goal. Nadellla is all about giving software developers the tools to realise their creativity.

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Pretty sure that is the Azure Playfab team’s goal. Game Stack is slightly adjacent to all this and includes Playfab services and Xbox GDK and so on.

Grow Azure from 20% upwards to 30 and more as early as possible is easily a goal.

Yeah it was a time of the year without huge 3rd party titles. Think the biggest in the quarter was probably Madden

It was a question…

I’m not concerned just curious

The comparison period was last year in the midst of a pandemic when everyone was home and the new consoles weren’t out.

Fortnite alone tends to drive a lot of this revenue so it’s not hard to imagine why this would decline especially given the Covid delays have started to bite 3rd party stuff.

The last 12 months are accumulating almost 16bn now. And it’s still trending up yoy, they will have more SX and SS to sell this year compared to last year launch, with lower production costs and no reason to drop price since the demand is still astronomically high.

Then you add Halo Infinite and FH5 launches, the amount of subs they are going to get from that…

Wouldn’t be surprised to see they coming really close to 20bn on the 12 months ending in December

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Perhaps in terms of revenue, Xbox could exceed PS.

Xbox is heavily into investing (as they should be) right now, I don’t think they’ll be shining there.

Edit: I guess playstation is too with their acquisitions and money hats so nevermind

Many new Series X consoles are being manufactured and held. The Halo special edition is boxed and ready to ship. The warehouses are just waiting for the street date to send them out. This has caused the numbers to be artificially skewed towards Series S but only until they can ship Halo Special edition. Beyond that specific example don’t expect to many ebbs and flow throughout 2022. Every console being manufactured is sold. There will be slightly more consoles next year because Xcloud server blades needed a large initial push which deprived the Series X numbers from being higher.