Xbox Series X | S: Microsoft's “best launch in history” and sharply rising profits





Microsoft has shared its results for the last quarter, ended December 31, 2020: with the Xbox Series X | S, its gaming branch is taking off.

Satya Nadella, P.-D.G. from Microsoft, even said it was the company's “best launch in history”. With the release of its new consoles, the group's hardware sales jumped 86%, for an overall increase in profits in the gaming branch of around 51%.


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The Xbox Series X | S as the backbone of Microsoft's hardware sales

With a substantial 86% increase in hardware sales, Microsoft announces that the launch of the Xbox Series X | S is nothing less than the best society has known. The American giant would indeed have sold more new-gen consoles in a month than any other Xbox model over the same period of time.

If Microsoft is careful not to divulge precise figures, the fact that, for the first time in its history, two models of the same generation of consoles are offered simultaneously plays a large part in this increase in sales, according to Satya Nadella.

Although very satisfactory, we note that these results remain below what Microsoft hoped. Especially since the shortage of stocks for new-gen consoles is likely to last a few more months.



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Microsoft's gaming branch profits up sharply

Alongside hardware sales, the overall profits of the gaming branch are not to be outdone. The Xbox Game Pass, Microsoft's strategic asset, now has 18 million subscribers. Xbox Live, on the other hand, has 100 million monthly active users, including consoles, PCs and smartphones.

With game sales up sharply, notably encouraged by the health containment measures implemented in 2020, Microsoft's gaming branch generated sales of $ 5 billion last quarter. This is an absolute first in the history of Xbox. Thanks to the sale of third-party games, Microsoft has pocketed an additional $ 2 billion.

All of these add up to an Xbox division profit increase of 51%. In total, on all its activities, Microsoft generated this quarter 15 billion dollars in profit, or the equivalent of twice what it paid to buy Bethesda in September. Enough to potentially buy back many other eminent studios, in short ...



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