Xbox 360 sales down, but Xbox Live revenue up in Microsoft's Q1

Company expects Xbox One launch "to be the biggest in Xbox history"

Microsoft has reported record first quarter revenue of $18.53 billion (£11.4b), despite a drop in Xbox 360 sales.

Microsoft sold 1.2 million Xbox 360s during the quarter, down 29 percent year-over-year. Worldwide Xbox 360 sales have now surpassed 80 million units since the system launched in November 2005, according to internal Microsoft data.


Quarterly sales in Microsoft's Devices and Consumer Other segment, which houses first-party games and Xbox Live, rose approximately 17 per cent to $1.64 billion (£1b), with transactional revenue from Xbox Live up more than 25 per cent year-over-year.

Microsoft's net income for the three months ended September 30 came in at $5.2 billion (£3.2b), up from $4.5 billion a year earlier.

While the company recently committed to supporting Xbox 360 for another three years, the games division is now investing much of its focus on its next-gen strategy in the run-up to next month's Xbox One release date.

In an earnings call last night, Microsoft chief financial official Amy Hood said (via "We expect the launch of Xbox One to be the biggest in Xbox history."