Xbox hardware revenue fell 29% in Q2 FY25
The anticipated drop in hardware income from Microsoft happened as predicted in their Q2 2024 financial report. In fact, the reported decrease was quite steep compared to the 3% increase in Xbox hardware sales between Q2 2023 and Q2 2024. The current 29% decline in Q2 2025 is striking, although it’s not surprising given we’re deep into this console generation. It’s important to remember that Microsoft has been concentrating more on software and services lately.