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 (the game's actual title, not "The Great Circle") has attracted 4 million players. This success shines brightly against a less impressive overall gaming division report. The game's critical acclaim, award wins, and player count are noteworthy, especially considering the lack of pre-release hype surrounding a modern AAA Indiana Jones title.

IGN's positive review praised the game as an "irresistible and immersive global treasure hunt," further solidifying its success.

Positive news also emerged from other Xbox divisions. Game Pass PC subscriptions surged 30% last quarter, achieving record revenue. Cloud gaming saw a substantial 140 million hours streamed. These factors contributed to a 2% increase in Xbox content and services revenue.

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

This mixed report suggests Microsoft needs to bolster its console and hardware sales. Nevertheless, the continued investment in Game Pass is proving fruitful, particularly the PC growth, likely fueled by the strong lineup of Game Pass day-one titles last quarter, including Indiana Jones and The Dial of Destiny, Call of Duty: Black Ops 6, and Microsoft Flight Simulator.