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I LOVE GIGGS said:
Aura7541 said:

The 5% reduction refers to the total gaming revenue, which includes software, services, and hardware revenue. In Marketwatch's breakdown, the hardware revenue decreased by 26%. It's hard to say if the reduction in units sold is solely on the 360's discontinuation.

Good point. And weird one as well. The console sold better in the UK and US than last year. I guess the same happened in almost every country that the slim launched on. How can they sell less than last year? That is a really bad sign for Xbox.

Microsoft did say in its NPD PR that the XB1 is up YOY in the US, UK, Australia, and "many other countries", but did not further elaborate on what those other countries are. I'm guessing that the countries Microsoft was refering to were those from Latin America since the XB1 is leading there according to Zhuge. However, everywhere else such as continental Europe, East Asia, Middle East, etc., XB1 sales cratered. That's my hypothesis on why hardware revenue went down significantly.