On the earnings call, Microsoft CEO Nadella said that Xbox Live has more than 100 million monthly active users and Game Pass now has 18 million subscribers. The company surpassed $5 billion in gaming revenue for the first time in the quarter that ended on December 31.

This was driven by the launch of Xbox series X and series S which was the most successful in Microsoft’s history with the most devices ever sold in a launch month. The Microsoft Xbox Series X and Series S gaming consoles went on sale on November 10 globally and are witnessing a huge demand.

The company is planning to transform how games are distributed played and viewed by bringing cloud gaming and game pass to iOS devices and Windows PCs over the next few months. Xbox hardware revenue also grew 86% driven by the new console launch as well as the benefit from lower price promotions on prior generation consoles. The company expects continued strong engagement on the Xbox platform and significant demand for the Xbox series X and S that will still be constrained by supply.

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