XBOX is doubling down on its biggest franchises, and it’s easy to see why. XBOX CEO Asha Sharma has revealed that three of the company’s franchises generate more than $1 billion in annual revenue, with the company now looking to grow that number by putting even greater focus on its biggest properties.
The revelation comes as XBOX prepares for some major changes, with Sharma previously suggesting that the gaming industry is not currently in a healthy position. Microsoft has already announced plans to lay off 1,600 employees, with further cuts expected over the next year as the company looks to streamline its development pipeline and focus on its most profitable areas.
XBOX Is Focusing On Its Strongest Franchises
The $1 billion figure comes directly from Sharma, who revealed the information in an internal memo obtained by The Verge. In the memo, Sharma outlined four priorities for XBOX moving forward, all with the ultimate goal of returning the company to player and revenue growth.
As part of the memo, Sharma highlighted the sheer scale of XBOX’s ecosystem, stating that “XBOX is one of the largest stadiums in the world, bringing together more than 100 million people every day, more than 500 million each month, and nearly one billion each year.”
With consoles continuing to generate the majority of XBOX’s revenue, the platform will remain a major priority. However, Sharma believes that the company’s biggest opportunity for growth lies in taking its most successful franchises and pushing them even further.
That’s already beginning to take shape, with Microsoft streamlining Bethesda’s priorities and placing greater emphasis on major franchises such as Fallout. The strategy also extends well beyond video games, with XBOX looking to expand its franchises into “film, television, consumer products, sponsorship, live experiences, and form new partnerships globally, including China.”
And it seems the potential is already there. According to Sharma, three XBOX franchises each generate more than $1 billion in revenue every year, although she didn’t reveal which three.
It’s difficult not to speculate, however, with Minecraft, Call of Duty and Candy Crush seemingly the most obvious candidates.
Call of Duty remains one of the biggest annual franchises in gaming, and Minecraft’s profits were used to fund other titles. Meanwhile, Candy Crush continues to be a powerhouse in the mobile gaming market through Microsoft’s ownership of Activision Blizzard.
Of course, XBOX hasn’t confirmed that these are the three franchises in question, so for now, it’s purely speculation. Regardless, the message from Sharma is clear: XBOX intends to lean heavily into its biggest pillars, and if three franchises are already generating more than $1 billion each year, there’s clearly plenty of money to be made by turning them into even bigger entertainment brands.
Which three games do you think earn $1 billion annually for XBOX? Share your thoughts in the official Insider Gaming Discord Server.
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Charlie is one of Insider Gaming's Guides Writers who's been in the gaming industry for a little over a year. Unfortunately for him, he enjoys every video game genre out…
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