Today, Microsoft revealed its quarterly financial earnings results for Q1 2020, covering the period between January 1st and March 31st. Gaming revenue was down by just 1% year-on-year but there is reason for investors to be optimistic, has Xbox Game Pass has been surpassing milestones.
the More Personal Computing segment at Microsoft covers Xbox, gaming, Windows OEM, Surface and Search Advertising. All of that combined brought in $11 billion over the quarter, meaning Microsoft got through the period without missing its targets, something that the company had warned might happen back in February.
Getting down to gaming specifics, overall ‘gaming’ revenue was down by 1% year-on-year but Xbox content and services were up by 2%. Importantly, Microsoft revealed that Xbox Game Pass has surpassed 10 million subscribers, an important milestone as we begin to look forward to the next generation of console hardware.
Microsoft CEO, Satya Nadella, also revealed that Xbox has seen “record levels of engagement” in the last few months, with nearly 90 million active Xbox Live users. The upcoming streaming service, Project xCloud, has also accrued hundreds of thousands of active users in beta. Over all, Microsoft’s More Personal Computing business division is expected to bring in up to $11.7 billion between April 1st and the end of June.
KitGuru Says: A chunk of the growth in Xbox engagement will be due to the coronavirus lockdown, with more people spending the majority of their time at home. Still, these are the numbers Microsoft will be glad to see as it gears up for the Xbox Series X launch later this year.