Microsoft misses Xbox Game Pass growth target for second year running
According to the article
・Microsoft failed to meet growth targets for game subscription service “Xbox Game Pass” for the second year in a row
In its financial results announcement, Microsoft revealed that Xbox hardware revenue increased 13% and PC Game Pass subscriptions increased 159% year-over-year.
Axios reports that the company’s newly filed financial report contains information about annual targets related to the salary of CEO Satya Nadella (and other key Microsoft executives).
・Microsoft targeted 73% growth for Game Pass in the fiscal year ending June 30, 2022, but it grew just 28%.
・Last year’s target was 48% growth, but it was only 38%.
Earlier this week, Microsoft’s head of gaming, Phil Spencer, said:The growth of game passes on game consoles is “slowing”explained
Overall Game Pass now accounts for about 15% of Microsoft’s overall Xbox content and services revenue.
Spencer acknowledged that fees could rise in the future
・According to Microsoft, as of January 2022, Game Pass has over 25 million subscribers.
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