FY2020 (Jul 1, 2019 - Jun 30, 2020) was the best year on record for Microsoft's gaming division in terms of revenue. Total gaming revenue was $11.58bn, up 2% YoY. Driven by an 11% increase in content & services revenue, partially offset by a 31% decrease in hardware revenue.
Content and services continues to be the main driver for gaming at Microsoft, driven by digital spending on games and subscriptions. Focusing on this area has led to continual revenue growth despite declining hardware sales. Here is the split by segment for FY2020.
For reference, here is the same chart as above but for FY2019. Xbox continues to transition to a content and services first strategy, pushing Game Pass as the entry point into the Xbox ecosystem through multiple devices such as console, PC and smartphones via cloud.
https://twitter.com/ZhugeEX/status/1289654755145334784
Content and services continues to be the main driver for gaming at Microsoft, driven by digital spending on games and subscriptions. Focusing on this area has led to continual revenue growth despite declining hardware sales. Here is the split by segment for FY2020.
For reference, here is the same chart as above but for FY2019. Xbox continues to transition to a content and services first strategy, pushing Game Pass as the entry point into the Xbox ecosystem through multiple devices such as console, PC and smartphones via cloud.
https://twitter.com/ZhugeEX/status/1289654755145334784