Microsoft managed to ship over 1.6 million Xbox One consoles over the last quarter that has just ended.

However, revenue earned from Xbox One sales went down mainly because of the recent price drops Microsoft made. The console now only costs $349 in the USA. In the UK, the console has dropped its price multiple times already in just a span of 17 months.

In the long run, Xbox One sales will rise with the price drop. Console numbers wouldn’t have been as high if the console stayed at the original $499 price tag. Dropping the Kinect to the bundle was a good decision as not everyone needs a device like that.

It’s interesting to note that Microsoft actually shipped less Xbox One consoles in the same quarter this year compared to the last. In the same quarter in 2014, 2 million consoles were shipped. Shipments were down by 400,000 units.

The only reasonable explanation is that Microsoft lacked any AAA release during the last quarter. Last year saw the release of Titanfall which was heavily advertised. This year, only Ori and the Blind Forest and Screamride come to mind. Those games are actually good and fun, but they’re not system sellers.

Microsoft doesn’t really need to worry about future Xbox One sales with Halo 5: Guardians on the way later this year.

  • This article was updated on March 8th, 2018

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