370°

ValueAct Still Pursuing A Microsoft Board Seat, Wants To Sell Off The Xbox Division

Steve Ballmer just announced his retirement, and the CEO of Microsoft has decided to call it a day within the next 12 months. The head of Redmond had been under fire from several circles, former employees, media and investors.

Back in April ValueAct spent $2 billion in order to take over 1 percent stake in Microsoft. And now gossip is flowing that the investment firm may be pushing for some big changes within the Redmond campus.

A top Microsoft analyst reveals that ValueAct is still pursuing a seat in the company’s board of directors.

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eyeonwindows.com
DEEBO3908d ago

well that sucks.even though i like sony more then MS.i hate see console makers go,hopefully this never happens.maybe this was the plan from the beginning.build the xbox brand up then sale it.

Bigpappy3908d ago

You don't even need to read the article to know that what you are implying is not the case. Just read the title and the summary.

JokesOnYou3908d ago (Edited 3908d ago )

Yeah 1% and they want them to sell the division...sounds like some nutjobs trying to make some quick cash. Not going to happen, expecially since Xbox brand unlike Zune and other investments that have failed.

MWong3908d ago (Edited 3908d ago )

Well if enough boardmembers get behind ValueAct and they get a seat on the board of directors it doesn't matter what percentage of stake they have in M$. They just have to convience the a majority of the board that the XBox division isn't profitable. The lack of a solid vision and leadership of the division would make that easy to argue.

I doubt they will get on the board though, but if they do I wonder who might buy XBox.

Anon19743908d ago (Edited 3908d ago )

The question isn't is the Xbox profitable. The question the board has to ask themselves is is the Xbox profitable enough. Could that money be better spent? That's what ValueAct does. They come in and work with the boards of company's to get them the most bang for their buck. They simply don't think that for Microsoft they're getting their money's worth out of any of their devices, Xbox included, compared to the returns they see from other divisions. They aren't alone in thinking this either, as other board members and analysts have been saying this long before ValueAct became involved.

Edit below: And he's dismissing the fact that ValueAct isn't in this alone. They'd just be adding their voice to those who've been calling for this for some time now but have been blocked by Ballmer.

HiddenMission3908d ago

@JokesOnYou

I guess the jokes really on you considering that nut job you speak of is an investment company that spent 2 billion dollars let me repeat that 2 billion dollars for 1% and will be getting a seat on the board of directors.

Over the years many investors have not been happy with the profit/loss margin that the XBOX brand earns/loses. They have been calling for Balmer to be removed for several years and XBOX to be sold off.

With the new director from the investment firm and Balmer retiring there is a very good chance that XBOX end up becoming a separate company...which means no more massive spending for exclusives. Essentially the XBOX brand would be in the same boat as Sony and Nintendo so the fields from a capital point of view would be more level than ever.

Bigpappy3907d ago

Seems like too many of you are getting ahead of yourselves here.

@ HiddenMission: The article clearly states the ValueAct is STILL PURSUING a seat on the Board. They are not on the board yet. And if they do get on, they with have one vote, but will obvious have more say. But they are not on the board.

@ darkride: Most of what you are saying makes sense to me. But ValueAct has no say in whether Ballmer stays or goes.

You guys are acting like Patcher here. You are looking at a few fact and trying to fill in the blanks. But there is no way to predict Who will replace Ballmer and how much influence ValueAct will have over the running of M$. So you should all make it clear that you really do not know how this will affect Xbox, except for the fact that Ballmer was a huge supporter.

You guy also ignore an even bigger supporter of Xbox (Bill Gates). He still owns more shares and has more influence over M$ than anyone else.

MWong3907d ago (Edited 3907d ago )

@ darkride66
Well said, +1 bubble

@Bigpappy
I don't think anybody is getting ahead of themselves. I think people are just stating possiblities. Especially, based off your initial comment to the OP. Bill Gates doesn't run M$, the board of directors run the company. The majority vote will decide the fate of the XBox, if it ever came to a vote.

Honestly, while I would hate to see the XBox go. However, I do think some of their money could be better allocated. $100 million for the controller design to make it look like an improved 360 controller. Not to mention the amount of money they have spent on R&D for the E3 XBone model. To just change it and spend more R&D money. Not to mention, paying for exclusives.

Bigpappy3907d ago (Edited 3907d ago )

@ MWong: When you reply to my comment please make sure that what you accuse me of saying is what I did say. I never said Bill Gates run Microsoft.

Now you also state that the board of directors run M$. If that is true, why did they not have Xbox as a separate company while Ballmer was CEO? No the do not run M$. It is run buy the CEO and the chairman. The board gets to pick who runs the company, but they do NOT run it.

The next CEO gets to decide the fate of Xbox business.

Diver3907d ago (Edited 3907d ago )

Well jokesonyou you don't realize that 1% makes them a top investor. Also they ain't alone on this.

If errr, when the Xbox has a bad start this gen it could force investors looking at bad office and windows sales to push the issue through.

Overall Xbox has yet to turn a profit. They're still down from the first box days.

Startin with attacking opengl to ram directx down our throats Microsoft is the worst thing ever to happen to gaming.

Christopher3907d ago

@JOY: Actually, this isn't the first time that board of directors people (or shareholders) have discussed selling off the Xbox division. The reason? It's one of the least profitable divisions in the company but has one of the highest expense rates outside of software divisions.

JokesOnYou3907d ago (Edited 3907d ago )

All I see here is SPECULATION with nothing even close solid to go on, no different then speculation sony would split the ps division. No coincidence people giving a firm who has 1% stake and currently no board seat in a huge corporation so much weight are the usual suspects. Nothing to see here but wishful thinking really.

Here's some black and white facts for all the speculation:

"Microsoft Profits Up, Xbox Division Up 55%"

"The bold bets we made on cloud services are paying off as people increasingly choose Microsoft services including Office 365, Windows Azure, Xbox LIVE, and Skype," said Microsoft CEO Steve Ballmer. "While there is still work to do, we are optimistic that the bets we’ve made on Windows devices position us well for the long-term."
http://www.vgchartz.com/art...

-I SPECULATE that based on these latest financial FACTS micro will now commence their world domination plan to take over the planet, or maybe just continue to support the Xbox brand. Who knows? lol

JohnnyBadfinger3907d ago

It's bad enough having Microsoft in charge of Xbox if it were sold I'd put my money on activision or EA even Ubisoft as the main publishers they could make heaps from having their own console.

morganfell3907d ago

There is a reason they want to divest themselves of the division. Here are thre pieces of info from Gaf:

http://i.imgur.com/UwdTasL....

http://i.imgur.com/ZUJHD.pn...

And the third piece is from a post where the individual stated that it should be considered how the Xbox division will be viewed early next year post initial launch. If Sony appears to be widening a lead it could drive some radical changes.

3907d ago
+ Show (10) more repliesLast reply 3907d ago
Anon19743908d ago (Edited 3908d ago )

It's no secret that other board members and investors have long had the knives out for the Xbox. Looking at it from a business perspective, even though the Xbox makes money now the return on money invested is paltry compared to what we see coming out of Microsoft's other divisions. You can understand why they might want to see it go when the capital could be spent boosting a much more profitable software division. But Ballmer was always the reason that this talk never went anywhere. He was a huge Xbox supporter. And now he's gone.

With ValueAct now adding its considerable influence to a board that was already unsure of the Xbox but held in check by Ballmer that leaves the division on shaky ground if the Xbox One fails to deliver, and with Windows 8 not exactly taking off and PC sales continuing to slump, Microsoft despite making obscene amounts of money could suddenly start to feel the pressure.

There's already been a number of analysts sounding the alarms regarding an uncertain future for the company. That's not saying they're in danger of going bankrupt or any such nonsense, but who knows what the company will look like even 5 years out.

So the question is, if Valueact and other board members get their way with the XBox, what then? Will it be spun off into it's own company, relatively intact or simply sold? And if sold, to who? When the analysts started talking again about the Xbox division being sold recently, Samsung was the name most often thrown about.

I wouldn't write off the influence that ValueAct has over the company. It's already being speculated that they're the once who've forced Ballmer out, and they don't even have their board seat yet. And they'd just be adding their voices to the others that think the Xbox divisions money could be better spent on a more profitable division, but have been held in check by Ballmer over the years.

vigilante_man3908d ago

Samsung make great hardware. We could see amazing hardware from both Sony and Samsung.

We need competition, where ever it comes from. This summer has taught us that.

TheTwelve3908d ago

You're speaking too much sense too early on these pages, bro! As much as Xbox supporters say this is a Sony-site, you will see them come out to disagree with you on this!

Ripsta7th3908d ago (Edited 3908d ago )

Xbox brand isnt dying anytime soon
@TheTwelve -you should be grateful he isnt right because if samsung takes over xbox its game over for sony Lol

Anon19743908d ago (Edited 3908d ago )

No one says the XBox is dying. That's not what this is about. The problem that shareholders and others on the board had was how much the Xbox division was profiting compared to capital invested with other divisions.

To simplify what we're talking about there, If you have two different revenue streams going into two different divisions and one revenue stream is making you 20% return and the other 5% return, it just makes sense that you may consider switching both streams into the division making bigger returns. With Microsoft, there are a number of divisions which would produce more returns for that invested capital, which analysts and board members have been pointing out for years but were blocked by Ballmer.

ValueAct "sourcing investments in companies they believe to be fundamentally undervalued, and then working with management and the company's board to implement strategies that generate superior returns on invested capital." It's all about more bang for your buck, and any business would be foolish if it didn't reassess it's invested capital versus returns from time to time. If it were just ValueAct saying this, you could probably just ignore them, but this has been simmering well before ValueAct made their move.

It has nothing to do with the Xbox brand "dying" or even being in danger. The question is, could Microsoft be spending that money better elsewhere, and many have long thought they could but have been stopped by Ballmer who just presided over the worst quarter the company has seen in recent history. And now he's stepping down.

Edit: On a side note, I'm surprised no one has chimed in yet and said "But..but Sony!" Usually, you can't discuss a company's financials without someone trying to shift the conversation to Sony's ongoing troubles.

TheTwelve3908d ago

@Ripsta7th

--- It was supposedly "gameover" for Sony when Microsoft entered. I recall recommendations that people sell Sony stock when Halo 3 came out...

...and now we find ourselves here, today.

I'm not worried about Sony. They know how to battle.

12

Deadpoolio3908d ago

I'm sorry I stopped reading after Valueact and considerable influence...When you have a 1% stake in a company you have NOTHING...Most companies don't even let 1% shareholders attend the meetings let alone would they ever even consider listening to anything that came out of a 1% stakeholder's mouth

creatchee3908d ago (Edited 3908d ago )

@TheTwelve

"--- It was supposedly "gameover" for Sony when Microsoft entered. I recall recommendations that people sell Sony stock when Halo 3 came out...

...and now we find ourselves here, today."

Halo 3 came out in September 2007. Sony's market cap was $54 billion in December 2007.

Today, Sony's market cap is $20.43 billion.

Selling Sony stock would have been an extremely good move if you did so before Halo 3 came out. Just saying.

TheSauce3907d ago

Samsung would probably love to buy xbox. They've always said that one of their goals is to have a step-up in the western market. Xbox is pretty much North America so buying them would be a huge bone for Samsung.

+ Show (5) more repliesLast reply 3907d ago
kewlkat0073908d ago

" $2 billion in order to take over 1 percent stake"

Dayummm

Mystogan3907d ago

Microsoft selling their Xbox Division will never Happen. Its a multibillion dollar business, These guys are pretty dumb if they really think that.

PlayStation_43907d ago

Samsung may be a nice console hardware manufacturer

Eddie201013907d ago

Selling the Xbox division to another company would be the best thing to happen to the gaming industry. Still would have the competition without the take over the world attitude that Microsoft has.

hqgamez3907d ago

Sorry to break it, but its probably the truth. MS spends most of the money trying to market the game console everywhere and purchase exclusives and dlc because they want to hurt the others reps.
if you think back towards the gta iv dlc for 50 million, that is a bunch of money, deals like COD dlc 30 days is private because that is probably some 100million plus deal, fifa 14 on every X1 EU (EA must been paid!!)
they hope they can build a name by buying off stuff to bring the fans which is the wrong way. even tho they brought some in. it's not working. They believed they own this generation and introduced the Xbox One with policies that users will follow and become a cash king. This is probably where they hoped to dominate and flow cash. Now you see how that went.

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markbob3908d ago

Im sure MS will do exactly what Sony did and tell the "activist investor" to take a hike

lastofgen3908d ago

I agree.
I'm glad sony told the other guy off and I hope ms does the same with these new valueact people.

Prophet-Gamer3907d ago

MS isn't the same company as Sony and the implications of the two are different. MS makes a ton of money off of their Enterprise division with Windows, Xbox represents a tiny part of their revenues. If you look at it that way, selling off Xbox or spinning it off would be good for the company.

On the Sony side, PlayStation is one of the few profitable things inside Sony, they haven't made money in years. Iirc Loeb wanted to do was split the entertainment side from the hardware side which would have made him tons of money but pretty much destroyed Sony. Selling off Xbox wouldn't make so much as a dent in MS, in fact it may help them free up money to invest in their OS side. Splitting Playstation from Sony would have pretty much ended a good portion of Sony.

Thatguy-3103908d ago (Edited 3908d ago )

"We've always had different competitors, we were in the space before Microsoft and we may be in the space after Microsoft,"
Like Sony said that they see competition come and go.
http://www.computerandvideo...

Belking3908d ago (Edited 3908d ago )

I'm sure they said similar things about Samsung and Apple too...lol

n4rc3908d ago

1% doesnt hold much sway.. just because they have backing on one issue doesnt mean xbox is going anywhere

Anon19743908d ago (Edited 3908d ago )

It's more than just ValueAct though. Analysts, other board members and investors alike have long been mulling the value of the division to the overall company. The only reason that talk never went anywhere was because of Ballmer, and now he's stepping out. ValueAct would already be adding their voice to the voices already calling for this. And if the Xbox One doesn't meet expectations, you can be damn sure these voices are going to be heard with no Ballmer to protect the division.

It's already speculated that the reason Ballmer is stepping down was due to ValueAct looking to force him out otherwise. I wouldn't write off the impact they could potentially have on the company, especially when they aren't alone on the board in thinking that something better could be done with the money currently being invested into the Xbox.

Edit below: Are any of you even listening? This has nothing to do with Xbox not being successful. You all forget, they're being measured against the rest of Microsoft's divisions which are making obscene amounts of profit while they aren't. That's what this is all about. Microsoft getting the most bang for their buck.

thetruthx13908d ago

@darkride66 you sound silly Xbox ain't going nowhere except a bigger user base in near future

kewlkat0073908d ago

All the Xbox brand has seen is growth from one gen to the next..No longer in the red year-on-year.

What board member would not be happy..

tokugawa3907d ago (Edited 3907d ago )

edit forget it

gamer20133907d ago

Here's someone that wants to see MS leave the gaming industry.

Prophet-Gamer3907d ago

The amount of people disagreeing with you is insane. seems a lot of people put their fingers in their ears and refuse to listen. Apparently, some of the people on this site know better than top business analysts and billionaire investors.

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jukins3908d ago

whenever some investor with a lot of shares wants to sell off a division its always for the quick payout instead of trying to have money constantly trickling in over a long period. its sad thats how things work.

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300°

Microsoft Survey Asks About Handheld

A new survey from Microsoft has further hinted at the possibility of an Xbox handheld being in development.

Read Full Story >>
twistedvoxel.com
EasilyTheBest5d ago

This is definitely happening, I just hope they have 2 versions one with a much bigger screen.

GamerRN4d ago

I'll be happy with this, and a PC console hybrid that rivals anything we have power wise

Number1TailzFan4d ago

The problem with bigger devices is playing them on your side in bed, Vita and before that was fine. Since the Switch you gotta have a gooseneck holder & controllers detached so you can lie down holding them, or your arm will quickly get tired.

1Victor3d ago

@thesofware: “A much bigger screen than what?”
A gaming laptop 🤷🏿🤣

Kosic3d ago

Than the screen originally planned...duh... :D

darthv723d ago

it kinda already did... https://www.xbox.com/en-US/...

They are just gauging interest in one of their own.

crazyCoconuts3d ago

A Xbox version of Logitech G-Cloud?
I mean, why bother? Not like the G cloud is flying off shelves and what would Xbox add to make it better?
They're surely not going to create bespoke architecture here and there are already a few Windows handhelds out there. I have little confidence in their ability to put together an attractive UI in the way Steam did. So I doubt anything will come from this.

KicksnSnares5d ago

Day One buy for me if they'll make a dedicated handheld device.

darthv724d ago

i have that logitech g-cloud. Its a sweet little piece of kit. I like that it can also install games from the play store unlike the other android based handheld.

mudakoshaka4d ago

It sure is! Don't understand why you get the down-votes. Whoever does not like the G Cloud must have been dropped down a well, head first, when they were of a younger age.

PassNextquestion4d ago

I wonder if Microsoft will perform better in Japan if they do actually make a handheld since everyone says handheld and mobile are king over there.

TiredGamer4d ago

This looks like the future of the game industry... all three platforms with a handheld option.

I wonder if the Playstation Portal is a technology test-bed/prototype for a future Playstation handheld?

rlow14d ago (Edited 4d ago )

It’s a possibility but I can’t help but think would that be the best way to go about it? Though it would give you data on how much it is used and game type. It’s still not a true portable device and so people approach it differently. I think that data on phones, tablets, and of course the competition would give a better indication.

But I really think if Sony is considering a new PSP that could play ps5 games, now would be the time to dive in. Honestly, if they do this, it would be huge.

Traecy4d ago (Edited 4d ago )

Doubt if Sony PS wants to support a new handheld with first party games. Something they lacked with the Vita. What they should do is have a handheld that is like the PS Portal which can play all games but play those games on the go as well as at home. Something like that is a better investment.

TiredGamer4d ago

Agreed that you will probably never see a separate line of games specifically for the handheld (a la PSP or PSVita). The modern economics and expectations of game development make that cost prohibitive. What makes more sense is if the full-fat game on PS5 or PS6 has a special "handheld" profile that is automatically optimized for the lower spec handheld. There would be some significant compromises compared to the bigger console variant, but it would be the same game overall and would only require a single purchase.... somewhat what the Switch does with a lower resolution when playing handheld versus docked.

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310°

Xbox Games Showcase Followed by [REDACTED] Direct Airs June 9

- Xbox Wire - Mark your calendars! The Xbox Games Showcase followed by [REDACTED] Direct airs June 9. More info inside.

Read Full Story >>
news.xbox.com
bionicstar4d ago

Will they show Fable 4, Stalker 2, GoW 6 & Perfect Dark?

PhillyDonJawn4d ago

Crossing fingers for Fable and perfect dark. And State of Decay 3

RaidenBlack4d ago (Edited 4d ago )

And maybe Clockwork Revolution, South of Midnight, Contraband, Project 007 & OD? lol
and whatever happened to Everwild ?
+ that rumored Wu Tang RPG

Sonic18814d ago (Edited 4d ago )

Will they have official release dates and gameplay?

anast4d ago

Another game pass event with their plans to go all streaming.

4d ago
Lightning774d ago

It's an Xbox showcase that they have every year.

Make smarter comments for once.

anast4d ago (Edited 4d ago )

Tell me what a smarter comment is.

If they don't sell game pass the entire time, then I will be wrong. All of this can be proven once the show gets underway. Let's wait and see.

InUrFoxHole3d ago

@Anast
Anything you didn't type. Good day sir!

4d ago
4d ago
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4d ago Replies(1)
Lightning774d ago (Edited 4d ago )

Wow too easy.

You went from MS going all streaming to selling gamepass content in which we all know they are.

Which one is it?

Pretty clear you don't know what a smart comment is at least you admit you don't know.

4d ago
anast4d ago (Edited 4d ago )

"Another game pass event with their plans to go all streaming."

It's both. I would worry about your own intelligence at this point. It seems that there is not enough to go around for you to worry about how smart other people are.

Lightning774d ago

It's just a regular event announcing games. Nice one captain obvious they're gonna mention gp stuff like they do every year what else is new.

The all streaming part is just you, being you I guess. They have streaming options but going all streaming again is just you pulling stuff outta thin air.

anast4d ago

You don't know what a smart comment is or isn't. You're welcome for the help.

Lightning774d ago

No you said something dumb then you tried to back track and mention GP.

Again make smart comments for once.

anast4d ago

And we have broken record syndrome.

+ Show (6) more repliesLast reply 3d ago
darthv724d ago

Wonder if they will address the handheld rumors....?

jimb0j0nes4d ago

For a brief moment I thought we might get a whole Direct for Gears 6 - seems like it's COD though!

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290°

Microsoft’s Surface and Xbox hardware revenues take a big hit in Q3

Microsoft just posted the third quarter of its 2024 fiscal financial results. The software maker made $61.9 billion in revenue and a net income of $21.9 billion during Q3. Revenue is up 17 percent, and net income has increased by 20 percent.

Read Full Story >>
theverge.com
darthv729d ago

Xbox content + services up 62% while hardware down 31%... seems about right with the way they tout you don't need the hardware to play. People can play on their phones or smart tv or other means. I don't hardly play on my consoles directly since getting devices like the logitech g-cloud and ps portal. Which is to also say I have been playing more digital than physical because of these devices.

solideagle9d ago

you should apply in MS PR team buddy, I think you will do a great job in my humble opinion :)

Sonic18819d ago

I thought darthv72 and Obscure_Observer already work for Microsoft 🤔

dveio9d ago

MS: "Xbox services and content without AB up 1%, with AB up 62%. Hardware down 31%. In total a loss of 350 mill."

darthv72: "Seems about right."

MS: "Excuse m ..."

darthv72: "I don't hardly play on my consoles directly."

MS:

Lightning778d ago

What he said was facts. How he plays games is no concern of you. Don't get too mad about it.

Cacabunga9d ago

I can tell people like you are an absolute minority..

If service is up means their fans and fanboys accepted this model and subscribed to it. The near future you will see a big decline because the service is saturated.

darthv728d ago

to you it may seem like the minority... but your bubble is shrinking because more and more are following suit. convenience is a hell of a drug and its also why physical sales only amount to 30% of overall game sales. times are changing, you either get with them or you get left behind.

neutralgamer19928d ago

Darth

30% physical sales: yet Phil and xbox division are in a rush go give up on that 30%. they don't have any right to give up any piece of the pie since the control such a little of the pie to begin with

also, the market is clearly speaking that the model Xbox is pushing isn't working right now the keyword being right now. you are right about freedom to play anywhere so i hope they put their games on steam

shinoff21839d ago

But that's been ms for years. When things aren't going their way they try to change the way things are said. For instance console sales are down, they stop telling how many sold instead telling us how many hours spent in halo or headshots. So it makes sense console sales down just say people are playing on more devices then previous. What they won't say is how many xbox players jumped ship to ps5.

Cacabunga9d ago

Hardware sales are so bad that Sony and Nintendo are blowing the sales off the water with their hardware.

If Xbox are losers, others aren’t..
Xbox already tried everything with Xbox live then subscriptions went down so much that they had to find something else. Their fans subscribed then reached saturation rather quickly.

Hardware and exclusive games is where it’s at! Keep gamers excited, announce decent software and people will support you

itsmebryan8d ago

@shin
Well keep it simple Sony 's operating income is down 26% and Microsoft's is up 32%. No MS spin there, just facts. 😉
Cheers

S2Killinit8d ago

MS is after diminishing consoles as a medium. They want to destroy this market because they couldnt win. MS’s vision is to dissolve console gaming.

romulus238d ago

Odd that a company that touts you dont need the hardware to play is already touting another console in the works.

darthv728d ago

They are not reliant on the HW but still want to maintain a presence (no matter how small) is a good thing. It shows commitment to the craft. It reminds me of SNK and how they made games for their own hardware (Neo Geo) while also making them for others because they knew there was a market to do so. They knew they would sell more to others but also sell to their own niche fan base.

TheEroica8d ago (Edited 8d ago )

Perfectly reasonable post down voted by insecure corporation friendly folk.... But not gamers. Real gamer want accessibility and ease of acquisition for all.... Company shills are the only ones still telling us that hardware locking people from games is good for us.

Chevalier8d ago

@Darth

You should stop parroting metrics like an idiot without context.

"Xbox content and services revenue grew 62% in Q3 from a year earlier, “driven by 61 points of net impact” from the purchase of the third-party video game giant, Microsoft said."

61 of the 62% was from their merger so net increase is ONLY 1%

https://www.mesaonline.org/...

itsmebryan8d ago

@chevalier

It looks like made a great purchase. Much better then Sony buying Bungie. 😉
Cheers

+ Show (4) more repliesLast reply 8d ago
purple1019d ago

Xbox hardware revenue tanks to lowest point of Xbox Series generation

Profchaos9d ago

I'm not surprised surface is struggling they aren't relevant anymore

DOMination-8d ago

In the last two years they've started exiting the consumer market altogether. All of the newest Surface products are business models only. They can't seem to work out what they want to do with it.

XBManiac9d ago

Too expensive hardware when others offer the same or more for less? Good work, Green Team.

SimpleDad9d ago (Edited 9d ago )

"Despite some early successes for Xbox games on rival platforms, Xbox hardware is down by a massive 31 percent this quarter."
"Without Activision Blizzard, Microsoft’s overall gaming revenue would have actually declined this quarter."
"Xbox content and services would have only been up a single percent without Activision Blizzard..."
"It looks like next quarter is going to be a similar story for gaming at Microsoft, too."

That is crazy... so A/B/K is carrying the whole Xbox gaming.
Oh and Microsoft will be fine. Windows, Office and Cloud are growing with each pc purchase.

purple1019d ago

Activision: "we gonna need a bigger rucksack/backpack please"

Microsoft: "why's that"

Activision: "to carry yo' weak ass'

Profchaos9d ago (Edited 9d ago )

Top brass have also wanted to start seeing returns on the 100 billion they have put into various Xbox related moves so seeing more multiplatform games is highly likely especially from abk

It's basically saying that PlayStation is the reason Xbox is afloat right now thinks to Ps5 versions of COD

Kornholic9d ago

So basically PS and PC gamers' money is keeping Xbox on life support.

MrDead8d ago

The only growth MS will get out of the console industry is if it supports it's rivals platforms. Xbox is a pointless machine now. I can see them on a big push for live next, and they won't give up on trying to buy Steam.

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