“The launch of Xbox Series X and Series S was the most successful in our history with the most devices ever sold in a launch month,” he said.
Nadella also announced that Xbox Game Pass now has 18 million subscribers, up from 15 million reported in September 2020.
Microsoft’s gaming business exceeded $2 billion in revenue from third-party titles for the first time during the quarter.
“We are gaining console share as gamers recognise the value of our broader ecosystem,” Nadella claimed.
Microsoft has struggled to meet demand for Xbox Series X/S since their launch in November 2020. The company previously said demand for the consoles is expected to outstrip supply for the foreseeable future, with Xbox Series X/S shortages set to continue into spring 2021.
On Tuesday’s earnings call, Microsoft CFO Amy Hood reiterated that the company expects Xbox Series X/S “will still be constrained by supply” throughout the current quarter ending March 31, 2021.