Microsoft pushes buck against a report stating the Activision Blizzard acquisition hasn't helped Xbox Game Pass by claiming it's missing context.
Microsoft shared details on the company's financial results for Q2 FY25 on Wednesday, revealing that gaming revenue was down 7% year-over-year for the quarter ending Dec. 31, 2025. The quarter did see Xbox content and services revenue up 2%, to which the company credits growth in Xbox Game Pass. Xbox hardware revenue declined 29% year-over-year.
Microsoft pulls in over $6.58 billion in revenue from its Xbox games division throughout Holiday 2024, driven primarily by software and services growth.
Microsoft posted strong Q2 2025 earnings, beating expectations with robust cloud and AI growth, though it faces challenges in maintaining its Cloud segment's rate of growth.
Microsoft's FY25 Q2 earnings reveal a decline in Xbox hardware revenue, while content and services revenue has increased. The company posted its latest earnings report on Wednesday, January 29, 2025.
Microsoft responded to an article suggesting that the purchase of Activision Blizzard didn't bring the company the expected benefits. In a statement, the Redmond-based giant denies the information present in the article.
Xbox's shift towards more high-margin businesses like Xbox Game Pass appears to have helped make the games division more profitable in Holiday 2024.
Christopher Young was one of Microsoft's highest-paid executives, with a total compensation of $12 million in 2024
Donald Trump seeks a "bidding war" for the app after years of pressure on ByteDance to sell its US operations over security concerns.
TikTok would be, by far, Microsoft's biggest acquisition to date. Other than Activision Blizzard, Microsoft previously paid $26bn for LinkedIn, $19.7bn for speech recognition company Nuance Communications, $8.5bn for Skype, and $7.5bn for Bethesda owner ZeniMax Media .
Chris Young, Microsoft’s head of business development, is stepping down after four years with the company. Known for his pivotal role in major strategic deals, Young was instrumental in closing Microsoft’s historic $68.