Today, Microsoft announced its financial results for the third quarter of the fiscal year 2021, related to the period between Jan. 1, 2021, and March. 31.
with increased revenue (across the board) comes increased demand to invest that revenue in some new and innovative IP's. MS has a lot they havent shared yet and hopefully what they have shared will get solid release dates at this years E3.
Lol. Some just like to say let's wait for e3 which has been years and years of waiting. Probably next e3 will produce something. /s
I'm sure they paid billions to acquire a load of new studios to simply not release new games. It only makes sense. :^)
I think you misread my comment. They already have produced something. We just dont have the release dates for titles like Senua 2, the new Forza, Halo infinite. Im not saying "wait for E3" in the sense that you are, I'm saying it in the sense that we get real dates of when to expect these already announced games. New / unannounced games will get their shot but right now i want to know about the ones already in the pipeline.
Ted Point is we won't see most of what they acquired much later down the road. Phil should have started to acquire by year 4-5 of xbox one this way by now we may start to see those studios start to make games But once these acquisitions start to develop on a regular schedule ms could have a huge upper hand due to number of studios (21) and their resources
And every E3, we get something, whether that be new game announcements, release dates, hardware showings. This narrative of "wait for E3" applies to all the big 3, they all have said it at some point. It is just the only thing left fanboys have to throw at the wall and hope that it sticks.
@neutralgamer1992 "Point is we won't see most of what they acquired much later down the road. Phil should have started to acquire by year 4-5 of xbox one this way by now we may start to see those studios start to make games" We are not talking about games from the Bethesda aquisition, we are talking details about MS 1st party outside the acquisition. Hellblade 2 Forza Halo Infinite plus more are nothing to do with Bethesda.
Except, eventually, it'll come true and maybe that year is this year. Darth makes some solid points. The increased revenue will probably be reinvested into the Xbox ecosystem and hopefully that means some solid games coming down the pipe. So yeah... I'm curious to see what happens at E3 this year.
@nineball "The increased revenue will probably be reinvested into the Xbox ecosystem and hopefully that means some solid games coming down the pipe." Don't forget that Revenue isn't the same as profit. They can use their profits towards things like games and such. Revenue is what they made before paying back all of their expenses. 232% is a lot of revenue but if they spent 200% of that on expenses then they only profited 32% of that which probably still comes out to a crap ton of money lol. Obviously I'm just throwing numbers up there and they are not to be taken literally lol. Just an example.
Yup and with Sony’s unwillingness to invest in major acquisitions, leaves Msft to only have to outbid them for timed exclusives now. Sony plays it wayy too safe.
First generation of gaming, ha?
Does it always have to be a console war when pointing out faults? With the mass amounts of acquisitions and investments by Microsoft gamers are reaping the benefits now with the exclusive games Xbox series x has and will be getting throughout this year. With this year packed with exclusive titles I can't imagine what next year will be like for Xbox series x. /s
Sony is quality over quantity and goes through the proper process of growth which is organic growing from within. Sony has created more studios out of nothing than MS could even comprehend. MS on the other hand, just blindly throws money at anything and everyone just hoping and praying that it will one day pay off down the line for them. Meanwhile Sony is very selective on who gets to join the fold as they must fit with the companys vision and strategy. MS however is just so creatively bankrupt that they so desperately need anyone who will sell out enough to join them as they have no real company strategy beyond "shove it on Gamepass", need more gamepass grinder fodder..
playing it safe is not going to cut it for me this generation. The few exclusives I liked are done and Sony’s yet to make 1 decent online game since the ps2🙈 I need more then the odd action adventure game every couple of years, it’s getting real boring.
How exactly does Sony play it safe? They have most popular platform and their First Party studios produce Game of the Year games and the ones that don't win GoTY are award winning games that sell in the millions and they've released many new IP just in the last 7yrs not including the new IP that'll release later this week that has received excelled feedback to this point that's not safe at all. Sony is the leader in gaming you don't get become that by playing it safe.
Sony buys insomniac gets 3 games delivered within 7-8 months. . . Microsoft buys over 20 studios. . . .none have released a game ...
I wouldn’t be so sure. Sony will likely purchase a studio or two this gen. They’ve came out and talked about looking to acquire, and you can bet they won’t stand by and let Microsoft do all the acquiring
Sony is winning and has won 3 gaming generations while Microsoft, with all its trillions, has never won a single generation 😂... What are you even talking about? Crazy.
Lore If you know anything about sony they only acquire those who they have a long working relationship with. Bluepoint Housemarque They will most likely acquire these 2. When it comes to huge publishers look for them to make a run at square enix and capcom since they have close working relationship with both
@neutralgamer That’s the issue, I’ve been following Sony since my childhood, something is seriously wrong with their President and CEO (whomever Jim Ryan reports to) as he has never and will never expand in terms of buying out Square or Capcom. As smart of a move it would be for their long term strategy. Square’s IP alone would set Sony up for at least a century and not only for their gaming division.
What are you talking about?? Are you new to gaming or something? One thing people have to look at is ms has spent more money on the Xbox brand than ever... that’s true. Now they actually have to do something with it and make sure that they actually release great games, and hit it out of the park, because now more than ever if they mess it up like they have done multiple times in the past, well this time if they mess it up, they are gonna watch the close to 10 billion dollars of investment hit them hard if things don’t go according to plan for them. This is the first time that if Xbox doesn’t start taking over some of the market share they are gonna dig themselves a whole were its going to be really hard for the higher ups at MS turn a blind eye to them blowing money on failed ideas for their gaming devision. I think ms should have played it a little different, started a little smaller and than built up to having a bunch of developers to manage. They still haven’t shown that they can manage any studio at this point in time, into making a critical and commercial successful game. Now they have to try and do it with 23 studios at the same time... crazy. Let’s remember MS do not have 1 original IP that they have managed from the ground up.. they didn’t create halo, they bought it, and since it’s been up to there internal studios the games have gone further and further down hill. Same with gears of war, although that is the best their internal studio has ever done, they are still not as highly praised after they bought the IP. Ms just took a huge risk. Let’s see if all that money they threw around can actually turn into something. They have more to prove and a lot of hard work ahead of them. I always welcome more competition, and want as many games as we can get... if those games are good and well thought out and push the industry forward, to me at this point, ms has never shown that they have it in them, or that they even really understand what the game industry is all about. And I have bought all of their console and supported them. I just don’t see them magically over night, being able to manage studios and developers and make great games.. if you could NOT do it with the 3 major studios you had for the past 10 years, what makes you think you can do it with 23?? Halo is their biggest IP, and they put more time and money into that game than any other and they manage and support that team more than any of their other studios and look what’s happened? You can’t manage your best studio and biggest IP? How the heck are you gonna do that with 23 other studios? No other gaming company would be around messing up as much as ms has. The only reason Xbox gets so many chances is because ms makes so much money else where. This time though, they have spent so much that if they mess up again, they might not get another huge crack at it. Let’s see. And back to the lore dude.. You clearly don’t know what to you speak of, Sony takes more risk than any other gaming company period. Sony also make the best games right now and there is no debate about it. They win game of the year more than any other company, there games sell amazingly well, and they raise the bar year after year. These are facts and not some fanboy opinion. When ms starts doing the same then we can talk. Don’t worry I’ll wait, I’ll be here if they ever do.
@lore yeah Sony PlayStation it too safe/S Like not making new games milking franchises with anual releases with spin-offs, not giving creative control to the creators and support it them, not investing in new ways to play games like controller features or VR, relying on 3 tired franchises to stay afloat, putting all their titles day one on a service that includes PC devaluing their console to a door stop, watering down their console to try and get more people to buy it. Sure you’re right Sony don’t take risk /SS
@1victor They don’t rely on the same franchises repeatedly as well? I am critical of Sony because I want them to be better, but give me a break they heavily rely on Naughty Dog with Uncharted and The Last of Us, Santa Monica for God of War, Insomniac with Ratchet (until Spiderman recently) and Sucker Punch with Infamous (until Ghost recently). They lack genre variety and other than Insomniac they don’t invest billions back into their business. At least Msft with how horrible they’ve been over the past decade have aggressively invested billions into their services and 1st party studios. They have 4 MASSIVE RPG’s in development. I want the same from Sony dude.
It should be noted that those first quarter results for new hardware, specifically two new consoles, are paying towards the cost of development and manufacturing upfront costs usually.
They have also invested in making alternate colors of the series controller. i think they are up to 5 colors now with a few more on the way later this year.
The software and services is not though? "while Xbox Content and Services revenue grew 34% ($739 million) year-on-year due to the performance of first-party and third-party games, and Xbox Game Pass subscriptions."
@DJStotty: I specified hardware for a reason.
But they have done just that, acquiring studios.
"MS has a lot they havent shared yet and hopefully what they have shared will get solid release dates at this years E3." Tbh I'm not expecting any solid release dates maybe release Windows but even that's kinda slim. Infinite, Forza and hopefully Starfield. In which there's a good chance that game will release this year according to sources.
"with increased revenue (across the board) comes increased demand to invest that revenue in some new and innovative IP's. MS has a lot they havent shared yet and hopefully what they have shared will get solid release dates at this years E3." Amen, Brother. :)
Phil said he invested a billion dollars in games at the start of the Xbox one generation. Money isn’t everything
revenue != profit. boasting about revenue is pretty immature. you still need to subtract operation costs, overhead, equipment etc. before you get to the profit, which would be the portion they can use to innovate. If i make a billion dollars revenue, but my operational/overhead is 1 billion and 1, im in the red by 1 dollar.
Microsoft makes nearly $20B PROFIT every quarter so I think they'll be okay.
Let the downplay begin
@DJStotty. I don't think he's necessarily trying to downplay anything here. He's just pointing out the fact that these revenue numbers tell us nothing about how much Xbox division is actually profiting. MS as a whole is one thing but we are discussing the Xbox gaming division individually like the article is which doesn't give us actual profits. Please understand that I am no financial guru.
nothing against ms here. just common business knowledge. down voters are too in your feelings about this silly console war.
"Wait for the next E3" It's a classic.
For playstation fans
+232% would be much impressive if we didn't know that One S and One X sold very low numbers the last FY. :/ Of course revenue will be up because Xbone base sales were damn low last year How about comparison launch aligned numbers Xbone in Q3 7 years ago??? Oh yes, wonder why MS won't say record breaking
The launch aligned numbers are still up for the series X/S compared to the XBO. You can find that info in another thread. X/S are selling better than the XBO.
Always good news to hear. Lets put that money towards studios and their games. Lots to prove at E3 this year.
Do you work for Microsoft?
Sounds more like someone who simply enjoys, and gets excited, for games to me.
You working for Sony? Asking for a friend, he needs a job.
His excitement isn't shilling or fanboying. You're just so sensitive to see anyone get excited for something you hate. Take therapy.
No Nintendo, woo, woo yeah. Let's go team red, let's make more Mario. Woo woo yeah!
@pricey It's bedtime
Good point. Microsoft do have a lot to prove. Really hoping that they have some really fun unexpected moments at E3 this year to get everybody even more hyped, and hopefully actually live up to it. If Microsoft can do that, we are in for a great generation with some great competition this time around.
Microsoft is moving in the right direction.
MS doesn't even know what to do with all the money they are making.
Ninja Theory knows what to do with that money they're making. They have Project Mara and HBII in the works. Playground Games knows what to do with their money. Forza Horizon games and Fable. Oh and The initiative with Perfect Dark. Oh and.....
It's increased 232% because last year was down so much by 211%. Anything would have been better than that . Sorry to throw shade.. but you get my point of how you can stretch figures however you want to make them good/bad. Depends on what you want them to look like. Peace
Well that's one way to spread Fake News. Xbox 2020 Q3 revenue was down 1% YoY, hardware was down 20% and service spending was up 2%.
But he didn't mean to throw shade!
Okay Mr. "I make random fake numbers because I can't just admit that Xbox actually did well."
To be fair, hardware revenue is a lousy indicator of anything really. Prices were lower because the older hardware sold cheaper, not as many people needed accessories because it was the end of the generation, etc. Now we have new hardware, new accessories, etc. Even if they sold the exact same number of devices they would've seen a revenue increase because the new generation stuff is selling at a higher per unit price.
Dude, don't say hardware sales don't matter to a Sony friendly site. Most people don't understand SaaS, even after Sony has said system sales are a bad metric. Fan boys will cling to it.
@TheGreatGazoo30 OK. I will say it.... Hardware sales don't matter. None of the console vendors make any significant money on just selling the hardware. It is well known that hardware is sold at razor thin margins and even at a loss at the start of the generation. The real money in the console industry is from royalties through their stores (MS even quoted 3rd party royalties in their earnings as a driver for the increases), subscriptions to their networks, subscriptions to streaming and games, and finally, first party studio games. In the console industry we are seeing three different strategies. Nintendo is focused on form factor selling their console, MS is focused on selling a multi-platform gaming experience, and Sony is driving sales through their huge library of successful IPs. Honestly, I like that they are not all just copying each other anymore, and are focused on their own strategies. It allows gamers to choose what suits them best and it gives gamers choice. That is a win across the board for the console vendors and gamers. Fanboys are simply insecure people (not gamers) that do not understand that a healthy Sony, MS, and Nintendo is good for all gamers.
It matters every week here when the article drops saying how many units each of the consoles sold. The realities are: Xbox Series and PS5 have sold every unit that has been made. PS5 has sold more because more PS5s have been made (reasons beyond the scope of this discussion). If 10 million units of both consoles had been built, both would have sold 10 million. Switch has been in production queues longer than both and so more are being produced. Nintendo are crushing both Sony and MS put together right now and benefitting from having older hardware. All three are doing great.
So wait...console sales don't matter because "razor thin- margin" and they make money off accessories, and their store.....sooo are people buying and purchasing games and accessories without hardware? Or does hardware sold directly correlate sales of games, accessories, etc...
@jukins Sales of hardware are mattering less and less. In MS' case, console sales are pretty irrelevant because a PC gamer is pretty much equal with a console owner. So, you can only measure MS' customer base by aggregating both the PC and XB owners that use XBL and GamePass. In Sony's case, I can play PSNow on PC (and do). So, again, there is probably a small group of gamers not measured by console sales there. Much smaller then MS probably but, I expect that to change over time. With Nintendo there is still a 1-to-1 correlation console sales and gamers still.
Something cannot be down by over 100%. That's not how percentages work.
If they can get it together and start managing their studios they should be able to pump out one first party game every quarter like clockwork. Those 21 first party studios can get the exclusive games drought to end. This might take time though but my concern is Microsofts management of these studios. Considering 343 couldn't even manage to get out halo on the new consoles launch date. Compare this to sony and already Miles morales, Demon souls, sackboy, astros, returnal and ratchet are all ready to go. Sony deserves a lot of credit for keeping the exclusives train rolling.
While Sony has done a much better job releasing games so far this gen, two of those games you mentioned were delayed. Most games are getting delayed right now. It’s just the way it is.
True while games do get delayed especially during the covid era. But me as a halo fan boy I found it especially baffling to pick up a series x with infinite marketing on the back of the box while the game itself got delayed and pushed a year back from launch date. Although it is a testament to Microsoft’s bank balance to allow 343 to take an extra year to get this game done.
It makes sense. They have 2 new systems that are twice as expensive as the one from last year AND still offering the product from last year. That gives a boost over same time last year by itself.
Thins means that Nintendo got a 850% increase and sony 550% increase hardware.
and what does this have tp do with playstation? you console ladies are crazy
Comparison. And i was wrong with Nintendo they are more close 1000% more be selling 400k a week...