By Emma Roth
Publication Date: 2026-04-29 20:43:00
Microsoft’s Xbox hardware revenue continues to tumble, with the company revealing a 33 percent decline as part of its earnings report released on Wednesday. Even though the rest of Microsoft’s consumer-focused division took a dip, the company’s cloud and productivity businesses continue to soar, driving the company toward $82.9 billion in revenue.
In addition to an executive shuffle, Microsoft has only pushed further into AI in recent months, with the company reporting $54.5 billion in revenue from its cloud business, marking a 29 percent year over year increase. “We are focused on delivering cloud and AI infrastructure and solutions that empower every business to eval-max their outcomes in the agentic computing era,” Microsoft CEO Satya Nadella said in the press release. “Our AI business surpassed an annual revenue run rate of $37 billion, up 123% year-over-year.” Revenue earned by Azure and other cloud services went up 40 percent.
Microsoft 365 Copilot saw growth as…
