Microsoft’s recent acquisition of Activision has significant implications for the financial health of the Xbox division. According to Microsoft’s financial report for the first quarter of fiscal year 2025 (July-September), Xbox gaming revenue increased 43 percent, driven by the inclusion of Activision products and services. Here are the details

Call of Duty games fill Xbox’s coffers

The integration of Activision games into the Game Pass catalogue is seen as one of the main attraction factors for new subscribers.

Among the high-profile titles available through the service is Call of Duty: Black Ops 6, which debuted on Game Pass as a day-one launch and has already achieved record-breaking numbers.

Also available are Call of Duty: Modern Warfare 3 and Warzone. This expansion of the catalogue drove a 61 per cent increase in revenue from Xbox content and services. 53 per cent of this increase was directly attributed to Activision.

While content revenues yielded positive results, Xbox hardware sales did not follow the same trajectory. The report revealed a 29 per cent decrease in hardware revenues compared to the previous year.

So without new console launches, it looks like Xbox’s device division will face other challenges.

So what do you think about this?