Microsoft was one of the first big companies with a presence in gaming to report its respective quarterly earnings and while the legendary tech company established in Redmond covers a LOT of things, Xbox and gaming is a big highlight.

Microsoft opened up the 2023 Fiscal Year with $45,317 millions in revenue with a net income of $20,505 millions, while respectively 16% positive and 8% negative, Wall Street had some deceptions all right.

Mainly the business behind corporate solutions and Azure as the company announced that its performance was softer than projected and probably this can be blamed on that the pandemic saga is not over yet despite a strong feeling that US Health authorities might be announcing the endemic phase (or COVID outbreak to be within same communities member, which is a big first step to be on the other side).

For the Xbox side it is a record breaker for Microsoft, compisong $3.63 billion of Microsoft sales and hardware sales reaching a positive 13% over last year, despite that Game Pass Ultimate includes the Cloud services which virtually can let you play next-gen Xbox games on a Xbox One console.

There is a decline in content and service in Xbox but this was attributed to console 's slower sales and this cannot be blamed on Microsoft as we are still in the middle of semiconductor shortage and Xbox Series S and X comes by limitely ever since late 2020.

Xbox Game Pass Cloud Gaming had great number but not enough for a proper hardware

Microsoft has confirmed that over 20 million players have tried Xbox Cloud Gaming to date. That’s double the number of players who had tried Microsoft’s take on cloud gaming when a figure was provided earlier this year.

But unfortunately, Phil Spencer confirmed to The Wall Street Journal, that a device that was supposed to be the product of Project Keystone will not see the light of the day, at least anytime soon.

Project Keystone was a proposed set-top box that would help non-Xbox Game Pass Cloud ready LED TVs or players with no Xbox consoles or PC to be able to play Game Pass Cloud games, kind of the same playbook Google did with Stadia.

Probably for Microsoft 20 million users might not be enough to justify this hardware if those players actually are using on available platforms and not showing that there is a need for Keystone.

Speculation runned high during a tweet by Phil Spencer two weeks ago celebrating the 25th anniversary of Fallout and a strange withe Xbox-branded device could be seen in his top shelf.

Via Microsoft