Microsoft is still on top of the console market with the Xbox 360, as the company managed to ship 77 million units since the console went on sale seven years ago. That's an incredible number for a device that entered the game as the underdog.
For the first quarter of 2013, Microsoft claims in its earning call, it shipped 1.3 million Xbox 360 consoles, which is a 9 percent drop. The new milestone was announced as part of Microsoft's financial report for the three months ending March 31. Furthermore, Microsoft said Xbox Live has over 46 million subscribers, which is a massive increase of 18 percent compared to the previous year.
As it stands, the Microsoft entertainment and devices section that includes Skype and Xbox seems to be in good shape, because revenues rose by 56 percent, to $2.53 billion. In addition, cost of revenue flew to $275 million, which has all to do with increased royalties on all Xbox Live contents.
"The bold bets we made on cloud services are paying off as people increasingly choose Microsoft services including Office 365, Windows Azure, Xbox Live, and Skype," Microsoft CEO Steve Ballmer said in a statement. "While there is still work to do, we are optimistic that the bets we've made on Windows devices position us well for the long-term."
With the entertainment and devices division along with cloud based products taking off, all Microsoft needs right now is for Windows 8 and Windows Phone 8 to find that sweet spot of success. It won't come easy due to stiff and increased competition, but if the company stays strong and steadfast, Windows 8 and Windows Phone 8 could become viable competitors in the years to come.
Furthermore, it would be interesting to see how Microsoft integrates its other products into the Xbox 720. The company will need to pull this off with flying colors to continue being a relevant player.
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