Xbox is the number one publisher on the PlayStation store
Xbox has continued to reap the benefits of releasing its games on other platforms. Software and subscription sales are up, but hardware sales are down.
Today, as news breaks of Xbox raising prices on hardware and accessories around the world, we also learn that it has found success in the software and subscriptions side of its business. Xbox held an earnings call on Wednesday to cover its financial results for January through March of this year, originally shared by VideoGamesChronicle. Xbox became the top publisher on the PlayStation store during this period, proving that its controversial move of bringing its exclusive games to the rival platform is paying off. However, during this same period, Xbox hardware sales were down 6% year over year.
Xbox hardware sales are down, but software makes it the number one publisher on PS5
The decline in hardware sales goes hand in hand with Xbox becoming the biggest video game publisher in the world. With less exclusive games driving buyers towards the Xbox console, it’s not surprising that the sales would falter. The company’s “This is an Xbox” campaign showed that the long-time console maker is shifting away from the idea of a singular box for its first-party titles. Xbox would rather meet players where they are, a strategy that seems to be working, as PC Game revenue has increased by 45% year over year, and Cloud Gaming set a record of 150 million hours played during this timeframe.
We are living through strange times in video games. It’s not often that a console increases in price years after its release. But this is not just an Xbox problem, PlayStation also increased the price of the PlayStation Plus recently, and after the current 90-day tariff pause, many expect the Nintendo Switch 2 to increase in price as well.
Xbox may be the top publisher on the two rival consoles now, but it will be interesting to see if that maintains itself. Xbox Studios have had some great games released in the last few months, as well as more coming up later this year, while PlayStation Studios have had a slower year. It’s easy to guess that games like Doom: The Dark Ages, planned for release on May 15th, likely lead sales and pre-orders, but there’s also not much to compete with now.
Looking at the rest of this year, PlayStation has The Outer Worlds 2 planned for later this year, and while it will likely be a great game, it may not be the title that keeps Xbox in the number one spot on its rival’s platform. Ultimately this shift in strategy will take years to come to fruition. I previously thought that Xbox would still make a console for the next generation, but that is seeming less and less likely.
