Today Microsoft posted the financial results of their third quarter of 2020 (Yeah, that’s confusing). Revenue went up 15 percent, to $35 billion. Meanwhile their net income went up with 22 percent.
During the call the company talked about the impact of COVID-19 on their business. How ad revenue on LinkedIn has decreased and how supply constraints in China has impacted their ability to deliver Windows PC’s in a time of high consumer demand for working from home devices.
Meanwhile, on the Xbox side of things the decreasing importance of Fortnite impacts the gaming business. This is offset in growth in services and other software. Overall gaming revenue for Microsoft declined by 1 percent. With content and services revenue increasing 2 percent.
Hardware revenue decreased 20 percent since last year. This is mostly due to lower prices of consoles and not due to lower demand.
The biggest news is the reveal that Xbox Game Pass has over 10 million subscribers. Meanwhile, Xbox Live has over 90 million active users.
The Project xCloud beta has hundreds of thousands of active users across seven countries.