Microsoft says Xbox Game Pass nearly hit $5 billion in revenue

Microsoft held its fourth quarter financial results for the 2025 fiscal year and revealed new details of how well Xbox has been doing. Xbox content and services revenue is up by 13 percent this quarter, and that includes Xbox Game Pass.

It was also revealed recently that Microsoft is the top publisher on both Xbox and PlayStation this quarter. The best-selling game on PS5 this year has been Forza Horizon 5, followed by Indiana Jones and the Great Circles and other Microsoft-owned IPs. 

Microsoft had six of the Top 10 best-selling games on PlayStation in the recent quarter.

Xbox Game Pass nearly hit $5 billion in annual revenue

Microsoft CEO Satya Nadella also revealed that Xbox Game Pass has revealed an annual revenue of nearly $5 billion for the first time. He also confirmed that Microsoft has 500 million monthly active users across gaming platforms and devices. 

While Xbox gaming services are doing well, hardware is still struggling. Xbox hardware revenue is down 22 percent this quarter. Part of the reason could be the rise of prices on Xbox Series consoles and accessories that started in May due to tariffs. 

Microsoft did reverse its plan on making its first-party games $80 this holiday. Now, games like The Outer Worlds 2 will cost $70. 

Source: The Verge