Xbox has achieved a important financial milestone, reporting nearly $5 billion in revenue for the first time in its last fiscal year, which concluded on june 30, 2025. This announcement was made by CEO Satya Nadella during the company’s Q4 and full-year earnings call.
While Nadella highlighted the overall revenue achievement, he did not disclose specific figures for Xbox Game Pass, nor did he provide current subscriber numbers for the service. The most recent confirmed subscriber count for Game Pass was 34 million as of February 2024. An unverified report from a Microsoft employee’s profile two months prior to this article suggested the number had reached 35 million.
The growth in Game Pass revenue is likely influenced by price adjustments implemented in July of the previous year.Furthermore, Xbox bolstered its Game Pass offerings by releasing several new first-party titles, notably in the final quarter of the fiscal year. These included notable releases such as The Elder Scrolls: Oblivion: Remastered, Doom: The Dark Ages, and Indiana Jones and the Great Circle.
Xbox’s gaming revenue saw a 10% increase year-over-year. The content and services segment, which includes Xbox Game Pass, experienced a 13% rise, attributed to the success of first-party content. In contrast, Xbox hardware revenue experienced a 22% decrease year-over-year.
despite these revenue gains, Xbox recently underwent significant workforce reductions, impacting hundreds of employees across its gaming divisions. This restructuring also led to the cancellation of several projects, including Everwild and the Perfect Dark reboot.
