From Third Place, Microsoft Is Reportedly Asking Its Game Studios to Push Profits Above the Rest of The Industry

If you had to rank the three video game console manufacturers based on how well they're doing commercially in 2025, the answer for numbers one and two could differ from person to person, with some seeing Nintendo as solidly in first, and others seeing PlayStation. But without a doubt, Microsoft and Xbox are in third place, and it's from this position, from well behind its two biggest competitors, that Microsoft and Xbox management are reportedly asking its studios to hit profit margin goals far above the industry average.

A new report from Bloomberg shows that Microsoft and Xbox are setting 30% profit margin goals for its internal studios. This isn't for every project, as the report clarifies that " Not every project is expected to hit the 30% profit threshold, " per Bloomberg's sou