In a surprising revelation, Microsoft's popular sandbox game, Minecraft, has been generating more revenue from Nintendo and PlayStation platforms than its own Xbox console.
This information was disclosed by Xbox's CFO, Tim Stuart, during the company's defense of its bid to acquire Activision-Blizzard.
With over 238 million copies sold and a massive player base, Minecraft continues to be one of the industry's most influential and profitable games.
A Look at Minecraft's Unprecedented Success
Since its full release in 2011, Minecraft has shattered records and set new benchmarks in the gaming world.
With an astonishing 600 million monthly active players in 2020, the game has become a cultural phenomenon, revolutionizing the sandbox genre.
Microsoft recognized its potential and acquired the developer, Mojang Studios, in 2014 for a staggering $2.5 billion, a move that has proved immensely fruitful for the company.
Nintendo and PlayStation as Revenue Drivers
According to the testimony transcript obtained by TweakTown, Minecraft's revenue from Nintendo is nearly four times that of Xbox, and it generates almost twice the amount of revenue on PlayStation.
This revelation underscores the game's massive popularity on these platforms and highlights Microsoft's commitment to being platform-first.
With its hybrid nature, the Nintendo Switch has been a particularly strong revenue driver, benefitting from over 125 million units sold as of March 2023.
The ability to play Minecraft on the go has undoubtedly contributed to its success on the Switch.
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Minecraft: Microsoft's Cash Cow
Not only is Minecraft incredibly popular, but it is also an extraordinary source of revenue for Microsoft.
Stuart described it as "one of the most profitable, if not the most profitable first-party game" for Xbox.
In 2021 alone, Minecraft generated over $318 million in revenue, with 41% of that coming from mobile platforms.
These figures emphasize Minecraft's continued dominance in the gaming market and its ability to monetize across various platforms.
Implications for Microsoft's Gaming Future
The revelation about Minecraft's revenue distribution holds significant implications for Microsoft's gaming strategy.
As GameRant notes, the company aims to demonstrate its commitment to putting games on multiple platforms, dispelling any notions of making exclusivity deals that would hinder the game's success.
"We were one of the first to allow cross-platform play in Minecraft. We allowed entitlements to roam, logins to roam, which allows gamers to roam across multiple platforms," Xbox's Stuart also said in the testimony.
Of particular interest is Microsoft's stance on the highly anticipated Call of Duty franchise. Xbox's Phil Spencer promised to keep the game on PlayStation, further solidifying the company's platform-first approach.
Unveiling Microsoft's Secrets
Beyond the Minecraft revelations, the FTC hearing provided additional fascinating insights into Microsoft's operations.
Moreover, internal documents showcased Microsoft's consideration of acquiring prominent game companies like Square Enix, Bungie, Sega, and IO Interactive.
These revelations hint at Microsoft's ambitions and desire to expand its gaming empire further.
What's In the News
Minecraft's astounding revenue success on Nintendo and PlayStation platforms, surpassing that of Xbox, has emerged as a surprising revelation during Microsoft's testimony.
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