Xbox Game Pass engagement up 22% year-over-year, reveals Microsoft CEO

Microsoft's latest financial results for FY23 Q4, reveal that Xbox Game Pass usage and overall gaming revenue have increased again this quarter.

Tom West

Published 26 Jul 2023

The latest financial results for Microsoft's fiscal year 2023 Q4 have shown that the company has enjoyed its best fiscal quarter to date, with overall revenue reaching $56.2 billion, an 8% increase. As for its gaming revenue, Microsoft looks to have held steady but has seen another large jump in Xbox Game Pass usage.

Xbox gaming revenue increases by $36 million year-on-year

During Microsoft's conference call, the company's CEO Satya Nadella shared that Xbox Game Pass playtime has increased by an impressive 22% year-on-year, while also sharing excitement for Starfield's launch into the service in September.

Overall gaming revenue saw an increase of $36 million, 1% year-on-year. Hardware revenue declined by 13% during the quarter but was balanced by a 5% increase in Xbox content and services, which has been attributed to the growth of Xbox Game Pass and third-party content.

Microsoft financial results fy23 q4 xbox game pass

According to industry analyst DomsPlaying, this has been Microsoft's second-highest fourth quarter for the Xbox division ever, behind FY21, which totaled approximately $3.49 billion in total gaming sales.

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Written by Tom West

Tom has been playing video games since he was old enough to hold a controller, experimenting with a number of systems until he eventually fell in love with Xbox. With a passion for the platform, he decided to make a career out of it, and now happily spends his days writing about that which he loves. If he’s not hunting for Xbox achievements, you’ll likely find him somewhere in The Elder Scrolls Online or fighting for survival in Battlefield.