Xbox Series X/S Sales Drop: Bad News for Consoles

Summary

• Xbox Series X/S sales are lower than the previous generation, with only 767,118 units sold in November 2024.
• Microsoft's focus on first-party games going cross-platform may reduce the appeal of owning an Xbox Series X/S.
• Despite low sales, Microsoft isn't concerned about Xbox as they prioritize building great games and expanding Xbox Game Pass.

A recent report has revealed that Xbox Series X/S sales are estimated to be lower than those of the previous generation. Despite the Xbox Series X being recognized as a more powerful console, this hasn't significantly boosted its sales figures. Microsoft has confirmed a decline in Xbox hardware revenue, which aligns with their strategic shift away from a sole focus on consoles.

By bringing first-party games to other platforms, Microsoft may be diminishing the incentive for gamers to purchase an Xbox Series X/S. Although the company has stated that only select titles will be cross-platform, many gamers perceive owning a PlayStation or a Nintendo Switch as more beneficial, given the exclusive titles on those systems are less likely to appear on Xbox.

According to VGChartz's latest sales data, the Xbox Series X/S sold only 767,118 units in November 2024, compared to 4,120,898 units for the PS5 and 1,715,636 units for the Switch. This is a stark contrast to the Xbox One, which sold around 2.3 million units during its fourth year. These figures reinforce ongoing reports indicating a decline in Xbox console sales.

What Could These Figures Mean For Xbox Moving Forward?

Microsoft has acknowledged losing the console wars. Despite aggressive acquisitions of major game developers, this strategy hasn't translated into higher console sales. Industry insider Mat Piscatela has suggested that the Xbox Series X/S is performing well despite lower sales numbers, with lifetime sales reaching approximately 31 million units. However, this still indicates that Xbox hardware isn't resonating with consumers as effectively as its competitors.

Microsoft has repeatedly emphasized that Xbox's focus is not primarily on console sales. Their strategy centers on developing exceptional games and enhancing digital libraries and cloud gaming experiences. With Xbox Game Pass seeing a steady increase in subscribers and numerous game releases, Microsoft has carved out a successful niche within the gaming industry. Rumors suggest that more Xbox exclusive titles may soon be available on other consoles, potentially steering Xbox and Microsoft in a new direction. The future will reveal Microsoft's next moves regarding console production and whether they will further prioritize digital gaming and software development.

[ttpp]