Xbox CEO Says Xbox Series X|S Is Supply Constrained, But Is It?
In the US, you can buy an Xbox Series X|S at Best Buy, Target, Walmart, and even on Xbox's own website. But Xbox CEO Asha Sharma claimed on X that "console sales remain constrained by supply" while discussing revenue decline for her division in the most recent financial quarter for Microsoft.
To be clear, Sharma doesn't state in what markets or regions there are supply problems for Xbox Series X|S. Here's specifically what she stated on social media:
"In Q1, Xbox revenue declined 2% [year over year], compared with a 10% decline a quarter ago, while our accountability margin improved. Minecraft and WoW Forever set records, Call of Duty had its most acclaimed release in more than a decade, and our PC platform revenue grew double digits. Console sales remain constrained by supply, with more demand than consoles available. We're working to get more consoles into playersโ hands, including through our expanded refurbishment program."
In June, Xbox chief strategy officer Matthew Ball also argued there was a supply-side issue with Xbox Series X|S. "We are producing them as quickly as possible," Ball said at the time. "These is a severe limitation to how quickly we can do that, but itโs not a question of appetite."
Circana senior director Mat Piscatella expressed skepticism about Sharma's console-supply argument on Bluesky, noting that "the data I've seen do not suggest that stock has been the biggest driver of Xbox hardware performance." In addition, Xbox Series X|S hardware sales continue to crater in the US, setting new record lows for Microsoft's gaming brand. This comes on top of Xbox increasing the cost of consoles again in August.ย
From a wider perspective, these financial results come in the midst of Sharma's "reset" of the Xbox business. This initiative has resulted in the loss of roughly 1,600 jobs at Xbox, with more planned in the months ahead; projected studio closures like Ninja Theory and others going independent like Double Fine; as well as Halo now falling under the Activision umbrella.
Earlier this week, Sharma touted the success of Call of Duty: Modern Warfare 4's launch. The FPS series has now made "$40 billion in lifetime franchise revenue." For more, check out GameSpot's Modern Warfare 4 review.
The past few days have also seen the exit of Xbox's first-ever chief operating officer. Helen Chiang is no longer with the company after being promoted to the position by Sharma just a few months ago.
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Sumber: GameSpot