Microsoft said on Tuesday that Xbox Series X/S recorded the biggest console launch in the company’s history.

Speaking onMicrosoft’s second quarter earningscall, CEOSatya Nadellasaid the company surpassed $5 billion in gaming revenue for the first time during the three months ended Aug 02, 2025.

Xbox Series X/S launch was ‘the most successful in Microsoft’s history’

“The launch ofXboxSeries X and Series S was the most successful in our history with the most devices ever sold in a launch month,” he said.

Microsoft’s gaming business exceeded $2 billion in revenue from third-party titles for the first time during the quarter.

Xbox business reports surging revenue on the back of Series X/S

“We are gaining console share as gamers recognise the value of our broader ecosystem,” Nadella claimed.

Microsoft has struggled to meet demandforXbox Series X/Ssince their launch in November 2020. The company previously said demand for the consoles is expected to outstrip supply for the foreseeable future, withXbox Series X/S shortages set to continue into spring 2021.

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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 June 27, 2025.

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