Xbox Game Pass Records Growth After Indiana Jones, Call of Duty, but Hardware Sales Drop

Microsoft's Q2 earnings call revealed that Indiana Jones and The Dial of Destiny (the game's actual title) has attracted 4 million players. This positive development stands out in an otherwise unremarkable gaming division report. The game's success, marked by critical praise, awards, and now a substantial player base, is noteworthy, especially considering the lack of widespread anticipation for a modern AAA Indiana Jones title.

Our own review lauded the game as an "irresistible and immersive global treasure hunt," and it's received nominations for Game of the Year and Best Xbox Game. [Link to full review].

Further Xbox news includes a 30% increase in Game Pass PC subscriptions last quarter, setting a new revenue record. Cloud gaming saw 140 million hours streamed. These factors contributed to a 2% growth in Xbox content and services revenue.

However, challenges remain. Despite exceeding expectations, overall gaming revenue decreased by 7%, and Xbox hardware revenue fell by 29%.

This suggests Microsoft needs to strengthen its console and hardware market position. Nevertheless, its investment in Game Pass is showing positive returns, particularly the strong PC subscription growth. This growth is likely fueled by last quarter's major releases, including Indiana Jones and The Dial of Destiny, Call of Duty: Black Ops 6, and Microsoft Flight Simulator, all available on Game Pass day one for Ultimate subscribers.