Microsoft just dropped some numbers for FY23 Q3, and, well, things are looking up for their gaming biz. They announced a 5% boost in gaming revenue year-over-year for the quarter wrapping up on March 31, 2025. Yeah, you read that right. Games are big business.
So, here’s the scoop: Xbox content and services actually grew 8% from last year. Why? Apparently, it’s thanks to Call of Duty and Minecraft doing their thing, plus more folks are into that Xbox Game Pass subscription. Oh, and hardware revenue dipped by 6%, which seems a bit meh.
In total, Microsoft raked in $70.1 billion this quarter. That’s an 11% increase from last year. And their net income? A slick $25.8 billion, up 18%. How do they even keep track of that much money, right?
Why Are Things Heating Up for Call of Duty, Minecraft, and Xbox Game Pass?
During the earnings call—always a party—Microsoft’s big boss, Satya Nadella, shared that Xbox Cloud Gaming hit a whopping 150 million hours this quarter. Meanwhile, PC Game Pass revenue jumped up 45%. Not too shabby.
Interestingly, Microsoft was the top dog for preorders and preinstalls on Xbox and PlayStation this quarter. Call of Duty: Black Ops 6 might have had something to do with that—still flying off shelves and likely making bank from microtransactions. Figures.
Minecraft also got a boost. Thank you, Minecraft Movie! People are still hyped about it, apparently, with weekly active users skyrocketing 75% since the movie arrived in theaters on April 4, 2025. Who knew a blocky world could be such a cash cow?
This quarter also saw the release of Avowed from Obsidian Entertainment. It’s this fantasy RPG set in the world of Eora. Think Pillars of Eternity vibes. Let’s see how that pans out.
Looking Ahead to FY25 Q4
Now, let’s talk future. Next quarter looks wild with a bunch of new stuff dropping. April kicked off with Compulsion Games’ South of Midnight and Bethesda’s The Elder Scrolls 4: Oblivion Remastered. Classics getting a makeover? Always interesting.
And hey, Stoic’s Towerborne is out on Xbox via Game Preview. Also in the mix, Forza Horizon 5 by Playground Games and MachineGames’ Indiana Jones and the Great Circle hit PlayStation 5. Come May, we’ve got id Software’s DOOM: The Dark Ages landing. Can’t lie—I’m curious.
So there you have it. Microsoft’s gaming world is buzzing along, making moves, and counting stacks. Meanwhile, I’m just here trying to decide what to play next.
