this post was submitted on 23 Oct 2025
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https://archive.ph/2025.10.23-112517/https://www.bloomberg.com/news/articles/2025-10-23/microsoft-pushes-xbox-studios-to-hit-higher-profit-margins

The average profit margin in the video-game industry in recent years has ranged between 17% and 22%, according to estimates from S&P Global Market Intelligence, while coming in between 10% and 20% over the past six years at Xbox. Court documents from 2023 revealed that Microsoft’s gaming business had a 12% profit margin for the first nine months of the company’s 2022 fiscal year.

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[–] NOT_RICK@lemmy.world 17 points 5 days ago

Does Microsoft realize the sentiment around their brands is terrible right now? I guess they don’t care

[–] TheRealKuni@piefed.social 15 points 5 days ago

These fucking idiots. Short term profits ruin long term prospects.

Game Pass was a phenomenal deal. You could’ve ridden that money train for years. But you needed profits NOW so you fucked over getting new subscriptions and growing your customer base in favor of hoping people don’t drop the service.

[–] Triumph@fedia.io 8 points 5 days ago

Remember that when the talk is of "profit", that's just "charge extra money to line the pockets of major shareholders, because fuck you, that's why".

It's a higher retail price than it has to be. You pay that.

lol this will definitely not negatively impact quality in any way. No sir.

[–] B0NK3RS@lemmy.world 5 points 5 days ago

Gotta deal with that $70 billion to acquire Activision Blizzard somehow...