By Ethan Gach
Publication Date: 2026-04-30 12:49:00
New Xbox boss Asha Sharma has been working quickly to fix the broken vibes around the platform. That’s included new messaging, but also substantive changes like making Game Pass cheaper. It’s a long road ahead, though, and Microsoft’s latest earnings report showed just how much work the team has cut out for it as it tries, in the words of CEO Satya Nadella, “to win back fans.”
Xbox hardware fell 33 percent year-over-year last quarter, which is in line with previous declines for actual sales of the Xbox Series X/S. Xbox content and services revenue was also down 5 percent year-over-year, which CFO Amy Hood blamed on a stronger quarter the year prior, likely from much stronger momentum around Call of Duty: Black Ops 6 than Black Ops 7. Despite every pivot and new initiative this generation, Microsoft’s gaming business is still headed in the wrong direction.
Sharma didn’t shy away from the challenge. “While we have made progress…
