Xbox Sets a New Monthly Active Xbox Users Record

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It’s no secret that the Xbox brand has been struggling for quite some time.

The company is consistently falling behind its main rivals, Nintendo and Sony, in sales and overall performance. Recently, their long-time CEO, Phil Spencer, retired, and Sarah Bond, who previously led Xbox and Microsoft Gaming, also stepped down.

Asha Sharma has been promoted within the company and immediately signaled a desire to recapture the magic that made the Xbox 360 so successful. She believes winning back fans is crucial, a view shared by Microsoft CEO Satya Nadella.

I was really glad to hear the company talk about focusing on what matters most – making a great experience for us, the players! They said they’re prioritizing quality and really listening to their core users, and I’m seeing that with Xbox too. It sounds like they’re doubling down on what their biggest fans want, and are actually trying to build the future of gaming with us. The recent changes to Game Pass are a perfect example – they clearly heard what we were saying and reacted, which is awesome!

Although hardware sales are still down, a recent financial report shows some positive signs.

A Record for Monthly Xbox Active Users Was Set Last Quarter

During the call, Nadella announced that Xbox had a record number of monthly active users last quarter, and that players streamed more hours of games than ever before. This success is likely due to the recent release of Call of Duty, as well as the upcoming launch of a new World of Warcraft expansion and the re-release of Burning Crusade Anniversary in early 2026.

However, there’s also some negative news: Microsoft’s Chief Financial Officer, Amy Hood, reported that Xbox revenue decreased last quarter.

Revenue fell by 7% and 9%, even when calculated using consistent exchange rates. Income from Xbox content and services also declined, dropping 5% and 7% on a constant currency basis. This decrease was partly due to a particularly strong performance from our own game releases in the same period last year.

Xbox had a very strong year for its own games in 2025, largely thanks to releases from Xbox Game Studios. Titles like Avowed from Obsidian Entertainment launched earlier in the year, and we even got a surprise release of Ninja Gaiden 2 Black. This year, however, has been much quieter in terms of new game releases.

This is a trend that Hood expects to continue.

We anticipate a decrease in revenue from Xbox content and services in the next quarter, around 12-14%. This is due to a particularly strong performance last year with our games, and also because of recent price adjustments for Xbox Game Pass, which are designed to offer gamers better value. We also expect a decrease in revenue from Xbox hardware sales compared to last year.

Xbox still has challenges ahead, but its long-term strategy seems to be paying off so far. It remains to be seen if this will lead to higher sales and profits.

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2026-04-30 21:42