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MS will no longer include Gaming Revenue or XBL Monthly Users in its earnings reports, instead will report "Xbox Content & Services Revenue Growth"
- Thread starter modiz
- Start date
I expected this and it makes sense. Don't really have individual sales when you have a service like Game Pass.
Hmm, surely this puts the focus on revenue? And revenue growth? Gamepass and other service reach will have to translate to revenue growth in order for those successes to show in these numbers, so I'd say it actually puts pressure to deliver on revenue.
In the end that's actually a more direct number, cutting more to the heart of things, than more abstract metrics. However having absolute numbers rather than just growth, and user numbers on top of that, would still obviously be preferable.
It sucks for people into statistics, but it makes a lot of sense. They are unifying the Xbox brand under various kinds of hardware, software and services. Games no longer have to be profitable on their own, they just have to keep people stick to their ecosystem.
That Xbox Live users metrics was pretty much worthless, as it never mentioned how many were paid.
But those moves does not really tells us if/when they will be comfortable sharing Game Pass users figures instead.
But those moves does not really tells us if/when they will be comfortable sharing Game Pass users figures instead.
The weird thing is, the XBL active users will grow a lot more and has grown a lot these past years.
So, they're also removing positive information.
Sounds like yet another layer of abstraction to me
We know nothing
This further underlines the Xbox transition to a service platform rather than hardware platform.
The console hardware will simply be one way of accessing the platform, along with PC and xCloud devices.
Obviously we've already seen this on PC, with the Xbox app and Game Pass. Xbox is the service and not just a "console".
The console hardware will simply be one way of accessing the platform, along with PC and xCloud devices.
Obviously we've already seen this on PC, with the Xbox app and Game Pass. Xbox is the service and not just a "console".
OP
OP
i think i might have misread my own thread... lol. you are right.
How? They will stop reporting how many active users their services have, and how much revenue they generate.
Well that wouldn't really make sense as they just pushed the gamepass ultimate deal that combines gold and gamepass. If you make gold not required for MP, you'd have to refund all of those people
If that's how they felt then they should make gamepass free. They care about revenue, they just dont want people to have a clear record to measure their efforts.
Services = revenue. Look at the expansion of Sony's services line up with their boom in revenue. Even Nintendo has seen a modest bump as they transition over to more services.
Yeah I don't understand
I hated when Sony did this with Gaming revenues mixed with other segments...
Is this now going to be PURE xbox revenue though?
I know in the past because of the disastrous hardware costs associated with the XBOX and 360 they used to merge it with other divisions.
I know in the past because of the disastrous hardware costs associated with the XBOX and 360 they used to merge it with other divisions.
This.It seems we won't get Game Pass numbers from them anytime soon.
They're not hiding it tho. It will still be disclosed in the SEC fillings
So no solid numbers whatsoever, even MAUs? Omission of MAUs is the strangest part here. I mean more engagement in services = more MAUs. Not even revenue for PR? (let's not discuss Xbox' net profit or loss here). And yes, MS is not reporting HW numbers or sales either for a long time.
So Xbox results are officialy a riddle wrapped in a mystery inside an enigma. Meh.
So Xbox results are officialy a riddle wrapped in a mystery inside an enigma. Meh.
I agree that. Sales figures are for investors, not enthousiasts, and the way sales are grouped underlined how gaming is managed at Microsoft.
Not the MAUs. NOOOOOooooooo!
Though I do actually kinda miss MS NPD PR, this is just making already really vague info moreso.
Though I do actually kinda miss MS NPD PR, this is just making already really vague info moreso.
I get that but it seems wrong to not disclose the revenue (and earnings) for a multi-billion dollar business to investors.
Probably good for consumers. Only talking about revenue growth and obfuscating everything else = this will be a huge money sink for a long time to come.
SEC fillings are readily available. Investors will also get the annual packs containing the information (maybe even quarterly I'm not sure how it works US side completely)
With introduction of Xbox GamePass Ultimate reporing XBL revenue is already partially hidden.
Yep, and it's obvious this is/was coming. Microsoft is now a services company and outside of gaming they are doing everything they can to get their services and software on multiple different platforms.
My guess is a couple years into next gen we will see xcloud or some similar service on other consoles.
I don't think they have ever reported on profitability of the gaming segment specifically before(at least not recently), so I'm not sure how we can assume this change is to hide increased outlays.
Guess there won't be anything to talk about in those quarterly earnings threads for Xbox anymore.
It has increasingly gotten worse over the past few years. Less data all around.
It has increasingly gotten worse over the past few years. Less data all around.
Except you know they're not?
KPI's change for companies year on year.]
Obviously the revenue of the xbox game division hasnt been deemed a key metric. However Growth, which is a very valuable KPI, has been decided upon this year.
This isn't about competitors, this is about showing investors (and potential investors) that the business is growing.
As stated by many on the previous MS quarter results it doesn't matter if your MAU is up but this doesn't translate into growth in both services and software revenue.
Funny enough those that said that were called armchair investors and concern trolls and now here we are.
It's about obfuscating in order to paint a more positive outlook for potential investors. Else they would simply offer more data points, including on revenue, growth, sales, subscriber numbers and so on.
