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Microsoft hit the nail on the head with the Xbox Game Pass service which provided a lot of value for the subscribers at a price point that was approachable by an extremely wide demographic.
However, it was thought that combining all these factors would result in a service that is not profitable or at the very least, not profitable enough.
With the latest numbers that have escaped the lid due to certain regulations, it became obvious that Microsoft is making a killing with the service.
Following the pressure from Brazilian regulators over the Activision Blizzard acquisition, Microsoft disclosed the service's revenue from consoles in 2021 was $2.9 billion. Keep in mind this is just the revenue and not the actual profit, which will obviously be lower but it is still a matter of big numbers, especially for a service that keeps winning console players over to Team Green.
In the report from Tweaktown, which spotted the number, it is also mentioned that even though Game Pass is huge in terms of revenue, Xbox Gaming generated a total of $16.28 billion in the calendar year of 2021.
While $2.9 billion makes up a total of 18 per cent of Xbox Gaming revenue, it is also worth noting this is just the number for console subscriptions, PC is not factored in so the total number is actually higher.
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