• Hey, guest user. Hope you're enjoying NeoGAF! Have you considered registering for an account? Come join us and add your take to the daily discourse.

Microsoft’s Q2 FY2025: Gaming Revenue -7%, Hardware -29%, Content and Services +2%

The whole Minecraft deal, there was some Goldeneye and Banjo stuff. Mech Assault and Viva Piñata were on the DS.

But I can see Xbox and Nintendo joining forces.

I mean I honestly don't really see this as them working together anymore then I see Nintendo working with any other 3rd party publisher. I would expect Nintendo to treat anyone who wanted to publish games on their system well. Nintendo will get 30% from all the games sold and that's the whole point of owning a platform.

As far as joining forces I guess I could see it happening but it would depend on what Nintendo is getting out of it. I think they would be satisfied to just let MS bring their games over (without GP) and that's that. I don't see any reality where Nintendo allows GP on their service. The information is out there. Games on GP kills sells by 80% or so, why would Nintendo want to be involved in that?
 

XXL

Member
9ieiqk.jpg
 

Draugoth

Gold Member
After Fallout 76 and Starfield I can’t see there being much success for ES VI.

Most people have given up on Bethesda at this point.

World of Warcraft 2 as a multiplatform release, heavily discounted with Game Pass.

Starcraft 3 with focus on professional gaming

Silksong as a 1 year Xbox Game Pass exclusive.

I can think of many things, but Microsoft doesn't use their brains.
 

Atrus

Gold Member
This was with COD, a new Diablo IV expansion, and Indiana Jones.

So what is Microsoft’s strategy now?

Console hardware peaked and is dying, it then results in fewer games sold, and Gamepass subscribers aren’t being rooted in the ecosystem since they own nothing.

With console owners being a large part of Gamepass subs, as the console goes so does Gamepass.
 

Elios83

Member
A complete strategic disaster.
Imagine killing part of your full priced COD revenues stream by putting the biggest game you can, except for GTA6, on GP and have almost no growth...
Now they're even more dependent from PlayStation.

And people wonder why they're going the Sega way.
 
Last edited:

LordOcidax

Member
We are in a world that making 6.5 billion in revenue in just a quarter is bad news… BTW, i asked in another thread… What are the revenue expectations for Playstation in their next quarterly report?
 

Mibu no ookami

Demoted Member® Pro™
It would depend what the Gamepass result is. If it's under 17% then the growth is only through price, whereas its more than that then there's subscriber growth as well.

Do we have any idea what proportion of content and services comes from Gamepass?

We're never getting that kind of granular data. GamePass will be shutdown before we get any official GamePass numbers ever again.

The offset is just kind of a brain-buster. I think most of us assumed that Microsoft couldn't afford CoD in GamePass, but it just doesn't seem to have made much of a difference, probably because most CoD players are on PlayStation.
 

tTHANOSs

Member
We are in a world that making 6.5 billion in revenue in just a quarter is bad news… BTW, i asked in another thread… What are the revenue expectations for Playstation in their next quarterly report?
But what's the profit after subtracting the expenses?? Microsoft is the one have made a nearly 70 billion acquisition and Xbox doesn't bring in that kind of revenue nevermind profit.
 

Mr Moose

Member
Sorry, but don't Sony's sales are declining as well? Isn't it a given in the second half of a generation?
From 2023? Yes, that was a huge year for PS5.
I believe Xbox was down in 2023, not up like PS5. Let me check.
Edit: Appears Xbox might've been up 3% that Q?

While PS5 sales were up in Sony’s third quarter, increasing to 8.2 million units from 6.3 million in the same quarter the previous year,
 
Last edited:

bundylove

Member
Going to disagree with you big time on your premise.

Netflix is a historically great deal to the detriment of the industry. It would be a great deal at 50 a month.

It has way more content than cable minus RSN and live events, whether you value their catalog or not, it's a pretty insane price with easy access to cancelations.

All your services combined is way more content than you were getting with cable and not dealing with commercials.
Which services are you using outside of netflix?

I also have a big comeback to this but lets hear from you first.
My answer will shock you just saying
 

onQ123

Member
Not sure but this is the first quarter for Microsoft launching a Call of Duty game which I would have thought would have boosted gaming revenue. Interesting that they are suddenly no longer breaking out ABK.

They started hiding behind the Activision/ King numbers last year around this time so this year it's going to show

dqtXYh4.png


Post in thread 'Tom Warren: Expect an Xbox Event in January' https://www.neogaf.com/threads/tom-warren-expect-an-xbox-event-in-january.1678624/post-269921651

Happy adamsapple adamsapple I gave you a full screenshot
 

Mr Moose

Member

Mibu no ookami

Demoted Member® Pro™
Sorry, but aren't Sony's sales declining as well? Isn't it a given in the second half of a generation?

I take everyone seriously even if I shouldn't, so my general reaction is to respond with a well-constructed answer.

Sony's overall operating income is up. Hardware units might be down, but their accessory sales, game sales, services are all up and this is where the margins actually are.

Their revenue might even be up on the quarter due to a strong November and PS5 Pro. They sell the PS Portal for 200 dollars... Dual Sense edge was the best selling accessory on the market dollar wise until the Portal disloged it. It's probably #2. The Dual Sense is the best selling accessory by units. Helldivers might be their best selling game of all time. Final Shape looked like it was a massive seller. Astro Bot sold well too on a limited budget. They sell disc drives for 80 dollars... They had a massive 30th anniversary event. The PSVR2 while heavily discounted moved a number of units...

I would not be surprised if they have one of the highest revenue Q3s in their history...
 

jm89

Member

ShaiKhulud1989

Gold Member
So, biggest game in the world in sub service, price increases all around, heavy spending from PS5 users...

Revenue (not even net profit) -7%
Subs +2%, but it's a margin of error at this point, that sector remained flat. Repeat of the year without CoD or price increase. It's not a financial report, it's an obituary.

You know what? With carefully cherrypicked by MS PR numbers like this I have to say that both Nishino and Hulst are fairly safe at their jobs.
 

Mibu no ookami

Demoted Member® Pro™
I was expecting a self quote prophesying this.

3oAt21Fnr4i54uK8vK.webp

I'll mark him down on his employee review.

It's amazing how the Xbox community (Xbox fanboys and well-known shills) keeps taking Ls (and it's not even their fault). It's just that every perceived win, along with the subsequent excitement and misleading optimism, is rooted in absolute ignorance and hopium

They've reached cult level status. I wouldn't give them much attention. It'll get worse and worse once unchangeable events start happening, namely Halo on PS5. But eventually Nadella will give up on Xbox hardware at least as we know it. Destin tweeted how many times does Phil Spencer have to say future hardware is coming before people stop doubting it. The answer is never. Even if they release new hardware, I wouldn't be surprised if it is quickly discontinued... No one should be believing the Lies of P in 2025... at least if you're not in the cult.
 
Top Bottom