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 (presumably a typo in the original text, corrected to the actual game title) has attracted 4 million players. This success story shines amidst a somewhat underwhelming gaming division report. MachineGames' title, lauded by critics and award-winning, has clearly resonated with a large audience. While precise sales figures remain elusive due to its inclusion in Xbox Game Pass, 4 million players represent a significant achievement, especially considering the lack of widespread pre-release expectations for a modern AAA Indiana Jones game.

Our own review praised the game as an "irresistible and immersive global treasure hunt," further highlighting its Game of the Year and Best Xbox Game nominations. [Link to full review].

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

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

This suggests Microsoft needs to bolster its console and hardware sales. Nevertheless, the continued investment in Game Pass seems to be yielding positive results. The strong PC Game Pass 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.