Xbox hardware revenue fell 29% in Q2 FY25

In simpler terms, the income generated from Xbox hardware sales decreased by approximately 29% when comparing the same quarter a year ago (Q2 2024) to the second quarter of this year (Q2 2025). Microsoft disclosed this decrease in their Q2 2025 financial report, which was released on January 29, 2025.

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.

It’s important to mention that when Microsoft discusses its hardware revenue, they don’t offer any additional details. They stated that it dropped by 29% from Q2 2024, but they fail to specify what the comparison point is. Essentially, all the information provided in their Xbox hardware reporting revolves around whether it increased or decreased, without disclosing any further context.

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2025-01-30 00:57