Xbox Just Had Its Best Sales Year Ever

gamerant.com:

The launch of the Xbox Series X and Xbox Series S consoles has been a success story for Microsoft's Xbox gaming division. Not only have the consoles themselves been a success, but they've served as the perfect vessel for increasing support for the Xbox Game Pass subscription service. Microsoft's Fiscal Year 2022 Q4 financial reporting has confirmed just how successful Xbox's efforts have been. The latest reporting confirms that Fiscal Year 2022 has been Xbox's best year ever.

Industry analyst Dom shared some of his research on Twitter this past week, covering Microsoft's latest fiscal reporting for the fourth quarter of its Fiscal Year. According to Dom's analysis of Microsoft's reporting, Xbox reached a very healthy $16.22 billion in sales through July 2021 and June 2022.

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The news comes even as Microsoft confirmed that its fourth quarter results for the past Fiscal Year have dipped for Xbox. Revenue overall dropped around 7% this past quarter. Even yet, that quarter brought in around $3.45 billion in sales and was Xbox's third-highest of the past Fiscal Year. The 7% dip included Content & Services declining 6% while hardware sales lowered 11%. That's compared to Xbox's third quarter, which was its highest of the Fiscal Year.

Of the $16.22 billion in sales that Xbox brought in over the past Fiscal Year, Dom estimates that approximately 77% of it is from its Content & Services. Microsoft attributes the fourth-quarter decline in this area as due to «lower engagement hours and monetization» for both third-party and first-party games. However, it also says that Xbox Game Pass subscriptions increased during the fourth quarter, a promising sign hinting that the Xbox audience