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The last Microsoft financial informationCorresponding to the quarter which ended on December 31, 2024, shows interesting data that many were patiently waiting for. As for Xbox, a 2% increase in content and services income, mainly driven by the growth of Xbox Game Pass, stands out. This contrasts with the 61% increase recorded during the previous quarter. On the other hand, Material income has decreased by 29%, while total game games dropped by 7%.
In October of last year, Microsoft's financial director Amy Hood had planned that Xbox's results in this quarter would be affected by the reduction in equipment sales, which has actually occurred. Hood also mentioned that a relatively stable growth was expected in Xbox content and services. However, the launch of Call of Duty seems to have had a positive impact, because the greatest number of subscriptions to Game Pass was recorded in a single day of exit.
They highlight the over 140 million hours for cloud games
The way in which the entry by Call of Duty has also changed compared to the launch of the previous year is also recognized. Because the game is available in Game Pass, subscription income is recognized over time, instead of being fully recognized at the time of purchase. In addition, the game requires an online connection to play, which means that even the players who buy the game independently will see the income gradually over time.
Continuous increases in content and service services, combined with the drop in material income, may indicate that Xbox's strategy extending to several platforms could be beneficial for the long -term brand. Xbox fans and investors will be attentive to the evolution of the situation in the coming quarters.
