Microsoft Entertainment and Devices division reported an 11% year-on-year drop in 2012, totaling about $3.77 billion in revenue lost.
“Announced during Microsoft's latest earnings call,” Gaston writes, “the Xbox division specifically saw a 28 percent drop in sales from the same three-month period last year, shipping 5.9 million Xbox 360 units compared to 8.2 million from the year before.”
Part of the problem—fewer sales of Xbox 360 consoles—is because people are hotly anticipating the next console, rumored to be called the Xbox 720. But Microsoft says the report isn’t as bad as it sounds, with the Xbox 360 still the most popular console in North America.
The Entertainment and Devices division also said that, with the recent release of the Windows 8 phone, they will be preoccupied spreading their games over to that device as well, and that this plan will be crucial to their future.
A report earlier this week reported supposed specs and details involving the hardware and capabilities of the new Xbox 720.
For more information on Microsoft’s sales, check out Martin Gaston’s article at Gamespot.