Microsoft has reported declines in Xbox revenue during the three months ended December 31, 2022 with gaming revenues were down 13% and Xbox content and services revenues down 12%, but were offset by the growth of Xbox Game Pass.

The Xbox Game Pass subscription business has reported a record number of active players, reporting a record 120 million monthly active users across its gaming ecosystem.

• Revenue: $52.7 billion (up 2% year-on-year)
• Net income: $16.4 billion (down 12%)
• Operating income: $20.4 billion (down 8%)

• More Personal Computing (incl. Xbox) revenue: $14.2 million (down 19%)
• Gaming revenue: Down 13%
• Xbox content and services revenue: Down 12%
• Xbox hardware revenue: Down 13%
• Monthly active users (gaming): 120 million

The company said that a number of the declines were in line with expectations.

Microsoft is reportedly gauging interest for an Xbox Game Pass ad-supported tier subscription with a new user survey exploring the potential addition of a $3 subscription tier that would provide more features and benefits.

According to Windows Central, the survey suggested that a potential $3 subscription tier offering come with features, such as allowing users to play new first-party Xbox titles six months after launch, and would include Xbox’s slate of exclusive titles as well.

Multiplayer and EA Access games would also be accessible in this new potential tier offering.

With Game Pass reportedly falling short of it’s target in growth, back in October, it makes sense that they are exploring new tier offerings.

Riot Games, the company behind such titles as League of Legends and Valorant, has filed a motion to end its deal with cryptocurrency company FTX following the epic collapse of the market, and FTX folding.

According to researcher Molly White via Twitter, the company attributed the decision to FTX’s filing for bankruptcy.

“There is simply no way for FTX to cure the reputational harm already caused to Riot as a result of the highly public disrepute wrought by the debacle preceding FTX’s bankruptcy filing. FTX cannot turn back the clock and undo the damage inflicted on Riot in the wake of its collapse,” Riot Games said, reportedly.

The two sides initially partnered up via an advertising deal in 2021 which would see Riot Games promote FTX’s brand in connection with its esports circuit, the League of Legends Championship series.

FTX owed Riot $12.5 million but so far has only covered $6.2 million of that balance during 2022, and in 2023 FTX would need to pay $12,875,000, with payments continuing to grow until the year 2028.

Riot Games also noted their criticism of the fall of FTX and arrest of FTX founder Sam Bankman-Fried as among the reasons that they decided to end the deal.