Summary:
- Microsoft's Xbox division reported a 7% year-over-year decline in revenue for the second quarter of 2022, with hardware sales dropping 29%.
- The decline was attributed to lower demand for Xbox Series X|S consoles compared to the previous year, when the new console generation was just launching.
- Despite the drop in hardware sales, Microsoft's gaming division saw an increase in revenue from its Xbox content and services, which includes subscription services like Xbox Game Pass.