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Microsoft (MSFT) Q2 2023 Xbox hardware sales declined 13% from prior year's quarter

Xbox console sales were down 13% from the previous year in Microsoft's (MSFT) Q2 2023 earnings.

Donovan Erskine

January 24, 2023 1:45 PM

Microsoft

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Microsoft (MSFT) has released its earnings report for Q2 2023, detailing its financial performance for the past few months. While a large portion of this report focused on AI and cloud technology, a chunk of the report was dedicated to gaming. Here, the company shares some insight into the performance of the Xbox brand, which saw a 13 percent decline in hardware sales compared to the same quarter of the previous year.

The Powerpoint presentation provided alongside Microsoft’s Q2 2023 earnings report includes the new details on the company’s gaming division. During Q2 2023, Xbox hardware (console) sales were down 13 percent compared to the previous year. In Q2 2022, Microsoft boasted a 10 percent increase in Xbox hardware sales, though the demand for consoles might have been higher then. The company neglected to provide any reasoning behind the decrease in console sales.

Microsoft does share that Xbox Game Pass had a solid year in terms of subscriber growth. This is further impressive when you consider the lack of major first-party Xbox games launching during the period.

As the Xbox Series X gets further from its November 2020 launch, it’s been fascinating to monitor its sales and financial performance as the market evolves. Today’s hardware news stems from Microsoft’s (MSFT) Q2 2023 earnings report, which showed the company missing revenue expectations and hitting EPS expectations. For more financial news from the tech and gaming industries, stick with Shacknews.

Donovan Erskine

News Editor

Donovan is a young journalist from Maryland, who likes to game. His oldest gaming memory is playing Pajama Sam on his mom's desktop during weekends. Pokémon Emerald, Halo 2, and the original Star Wars Battlefront 2 were some of the most influential titles in awakening his love for video games. After interning for Shacknews throughout college, Donovan graduated from Bowie State University in 2020 with a major in broadcast journalism and joined the team full-time. He is a huge Scream nerd and film fanatic that will talk with you about movies and games all day. You can follow him on twitter @Donimals_