Find XO: Game Sales Down 10% While Cloud Revenue Jumps 27% Within the Same Company (theverge.com)

- In the fourth quarter, Microsoft's Xbox revenue dropped by 10%, while its cloud revenue increased by 27%, reaching $59.3 billion. - In the same week, EA paid its CEO $38.65 million based on Battlefield 6's success, yet the studios that made the game were laid off in March. - These two companies illustrate where capital withdrawn from gaming is moving to. - Gaming teams need to decide early whether to grow their products as growth engines or run them as cash-generating businesses to be less disadvantaged in budget battles.