Activision drives 43% jump in Microsoft’s quarterly gaming revenue
For the three months ended September 30, 2024, gaming revenue was up 43% year-over-year, with all of the growth attributed to the company’s acquisition of Activision Blizzard.
While Xbox hardware revenue declined 29% year-over-year, this was more than offset by a 61% increase in content and services revenue, which included 53 points of net impact from its Activision Blizzard acquisition.
The company completed its acquisition of Activision Blizzard in October 2023, in the process taking ownership of franchises including Call of Duty, World of Warcraft, Diablo and Overwatch.
While the acquisition has significantly boosted Xbox’s earnings over the past year, its true value will become even clearer when Microsoft reports its second quarter earnings in three months’ time.
Last Friday, Activision’s Black Ops 6 became the first Call of Duty title to release on Game Pass at launch, and Microsoft will be hoping that the game drives a significant increase in subscribers.
Analysts have suggested Black Ops 6 could lead to up to four million new Game Pass subscribers.
Microsoft could share early sales figures for the game, and discuss its impact on Game Pass subscriptions, during its quarterly earnings call on Wednesday, which begins at 2.30pm PT / 9.30pm BST.
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Source: https://www.videogameschronicle.com/news/activision-drives-43-jump-in-microsofts-quarterly-gaming-revenue/
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