Gadgets and Gaming

Xbox Hardware Sales Continue To Nosedive

SKOREA-ENTERTAINMENT-GAMING-MICROSOFT-XBOX
JUNG YEON-JE / Xbox

Given recent news about the state of the Xbox Series S and X consoles, it shouldn’t come as a surprise that Xbox’s hardware sales continue to nosedive.

Microsoft shared its Q1 2026 earnings, revealing that Xbox hardware revenue was down 29 percent year over year.

This latest financial news paints a bleak picture for the hardware division, as the numbers keep getting worse rather than better. Last quarter, hardware sales were down 22 percent, down 29 percent for the first two quarters of 2025, and down 42 percent in Q4 of 2024.

Things will only get more challenging as the company also has to contend with Donald Trump and his blatant abuse of tariffs, which have forced Microsoft ot make some unpopular decisions like raising the price of the Series X console to $599.

The company has also implemented a new strategy with its “Xbox everywhere” initiative, which promotes the idea that any device that can play its games in the cloud is an Xbox.

Microsoft’s gaming division has also begun ditching the idea of exclusive games and, basically, conceded the “console wars” when it announced that Halo: Campaign Evolved, a remake of the first game in the franchise, is coming to the PlayStation 5.

Despite all the dire news about hardware sales, Microsoft is not out of the console business yet. The company just released two new handheld devices in partnership with ASUS, the ROG Xbox Ally and Xbox Ally X.

Company heads like Xbox President Sarah Bond and CEO Satya Nadella have also begun teasing the next Xbox console, sharing that it will be a premium, high-powered PC/gaming console experience that will most likely include multiple storefronts, like Steam.

We shall see what the future holds for the company.

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Electronic Arts Sales Fell 13% In Second Quarter, Suspends Earnings Calls

Electronic Arts Sales Fell 13% In Second Quarter
NurPhoto / Electronic Arts

After being acquired and on the verge of going private, Electronic Arts saw its sales fall 13% year over year in the July-September quarter, according to its latest earnings report.

The company announced it will also stop holding quarterly Q&A calls between analysts and EA leadership, something it has done for years, and will no longer share forward-looking financial guidance.

Variety reports the company’s decisions could be tied to the $55 billion acquisition deal that will see the Saudis and Jared Kushner’s Affinity Partners and Silver Lake Group take control of the video game developer. 

The Sept. 29 acquisition hasn’t been completed yet, but is on track to be completed by next spring.

Per Variety

Wall Street forecast earnings per share (EPS) of 35 cents on $1.87 billion in revenue for the quarter, according to analyst consensus data provided by LSEG. EA reported non-GAAP diluted EPS of 54 cents on $1.82 billion in net bookings ($1.84 billion in revenue).

That net bookings figure was down 13% from the $2.1 billion in net bookings EA posted from July-September 2024, which EA attributes to especially strong sales for “College Football 25” at that time.
Despite sales falling, EA CEO Andrew Wilson expressed optimism in a letter sent to shareholders.
“Across our broad portfolio — from ‘EA Sports’ to ‘Battlefield,’ ‘The Sims,’ and ‘skate.’ — our teams continue to create high-quality experiences that connect and inspire players around the world,” Wilson said. “The creativity, passion, and innovation of our teams are at the heart of everything we do.”
We shall see if that optimism remains if the sales numbers don’t improve. 

Electronic Arts Sales Fell 13% In Second Quarter, Suspends Earnings Calls

Electronic Arts Sales Fell 13% In Second Quarter
NurPhoto / Electronic Arts

After being acquired and on the verge of going private, Electronic Arts saw its sales fall 13% year over year in the July-September quarter, according to its latest earnings report.

The company announced it will also stop holding quarterly Q&A calls between analysts and EA leadership, something it has done for years, and will no longer share forward-looking financial guidance.

Variety reports the company’s decisions could be tied to the $55 billion acquisition deal that will see the Saudis and Jared Kushner’s Affinity Partners and Silver Lake Group take control of the video game developer. 

The Sept. 29 acquisition hasn’t been completed yet, but is on track to be completed by next spring.

Per Variety

Wall Street forecast earnings per share (EPS) of 35 cents on $1.87 billion in revenue for the quarter, according to analyst consensus data provided by LSEG. EA reported non-GAAP diluted EPS of 54 cents on $1.82 billion in net bookings ($1.84 billion in revenue).

That net bookings figure was down 13% from the $2.1 billion in net bookings EA posted from July-September 2024, which EA attributes to especially strong sales for “College Football 25” at that time.
Despite sales falling, EA CEO Andrew Wilson expressed optimism in a letter sent to shareholders.
“Across our broad portfolio — from ‘EA Sports’ to ‘Battlefield,’ ‘The Sims,’ and ‘skate.’ — our teams continue to create high-quality experiences that connect and inspire players around the world,” Wilson said. “The creativity, passion, and innovation of our teams are at the heart of everything we do.”
We shall see if that optimism remains if the sales numbers don’t improve. 

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EA Announces Partnership With Company Behind Stable Diffusion To Make Games Using AI

EA Announces Partnership With Stability Diffusion's Creator
Getty Images / EA / AI

AI (artificial intelligence) is still a boogeyman in the gaming space, but EA (Electronic Arts) is all-in on it.

After their eye-watering $65 billion buyout at the hands of the Saudis and Affinity Partners, which was founded by Donald Trump’s son-in-law, Jared Kushner, there is more news coming out regarding the popular video game publisher that will make the stomachs of gamers turn. 

Electronic Arts announced a partnership with Stability AI, the creator of the AI image generation tool Stable Diffusion.

According to EA, the main goal of the partnership is to “co-develop transformative AI models, tools, and workflows” to help game developers speed up development while maintaining quality. 

“I use the term smarter paintbrushes,”Head of Technical Art for EA SPORTS, Steve Kestell, said in the announcement. “We are giving our creatives the tools to express what they want.” To start, the “smarter paintbrushes” EA and Stability AI are building are concentrated on generating textures and in-game assets. EA hopes to create “Physically Based Rendering materials” with new tools “that generate 2D textures that maintain exact color and light accuracy across any environment.”

EA also claims that its partnership with the company will allow them to use AI to “pre-visualize entire 3D environments from a series of intentional prompts, allowing artists to creatively direct the generation of game content.”

EA Wants To Cut Game Development Time With Its New Partnership

The move isn’t surprising, as the gaming industry is increasingly integrating AI into game development. 

With EA on the verge of being bought out, the company will be saddled with a lot of debt, so using AI could be a cost-effective way to deliver AAA games without the bloated development costs. 

Also, game development times have increased significantly, with many gamers complaining that it takes too long for these big-name titles to hit shelves, so finding a way to cut that time in half without sacrificing quality is always welcome. 

BUT —and this is a huge BUT —no one wants to see humans replaced by AI to accomplish this goal. 

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‘Marvel Cosmic Invasion’ Sets Itself Apart From Other Beat ‘Em Up Games With ‘Cosmic Swap’ Feature

'Marvel Cosmic Invasion' Is Not Your Typical Beat 'Em Up Game

Source: DOTEMU / Tribute Games / Marvel Cosmic Invasion

We are having a beat ’em up renaissance in the video game world, and Tribute Games is leading the charge. Their latest game, Marvel Cosmic Invasion, aims to continue that trend, and based on our experience at Summer Game Fest Play Days, the studio has another hit on its hands.

Tribute Games quickly rose on our list of favorite studios after the release of Teenage Mutant Ninja Turtles: Shredder’s Revenge. They are shifting from one popular IP, the Ninja Turtles, to deliver us another game involving popular characters from Marvel Comics’ lore with Marvel Cosmic Invasion.

This game was already high on our list when it was first announced, so you can imagine we were excited to get hands-on with it at Play Days. Let’s dive into our thoughts about our experience.

Before we proceed, let’s briefly explore the game’s plot. In Marvel Cosmic Invasion, Annihilus launches an attack that spreads across the galaxy, and it’s up to you and whichever two heroes you select to travel across Earth and beyond to stop the Annihilation Wave.

If that sounds familiar, Marvel aficionados will easily point out that the game’s plot is based on the Annihilation comic book run.

Cosmic Swap Is An Instant Game-Changer In Marvel Cosmic Invasion

Marvel Cosmic Invasion

Source: DOTEMU / Tribute Games / Marvel Cosmic Invasion

Right off the bat, Marvel Cosmic Invasion is already on a different level with its inclusion of our favorite Marvel superheroes. Still, what truly sets this game apart from games like TMNT: Shredder’s Revenge is the new character swapping feature called “Cosmic Swap.”

Immediately, we came to appreciate it because it’s hard to choose from the list of heroes, which so far includes Storm, Wolverine, Spider-Man, Nova, She-Hulk, Rocket Raccoon, Captain America, Venom, and Phyla-Vell.

Thanks to Cosmic Swap, that decision is made easier because you get to choose two characters to run with to take out Annihulus.

Now to the game, Cosmic Invasion isn’t just a typical beat ’em up; it has its own flair to the genre with the Cosmic Swap, which is a tag team function that you would find in most modern-day fighting games.

For our run, we played as Captain America and Spider-Man, and it felt seamless as we switched between the characters during the two stages we experienced during the brief but still meaty demo.

Marvel Cosmic Invasion

Source: DOTEMU / Tribute Games / Marvel Cosmic Invasion

Also, unlike other beat ’em up games, there seems to be more weight behind the attacks, and we appreciated that you could perform combos by knocking your opponents in the air, allowing your secondary character or another player to finish off an enemy to add some style to the game’s combat.

Other Fun Elements In Marvel Cosmic Invasion

Marvel Cosmic Invasion

Source: DOTEMU / Tribute Games / Marvel Cosmic Invasion

Like Shredder’s Revenge, Cosmic Invasion is a beautifully designed 2D experience featuring gorgeous animation that brings these heroes from the comic book pages to life, while showing appreciation for a style considered dated by today’s video game graphics standards.

The soundtrack in the game also impresses, adding to the chaotic yet enjoyable gameplay. Boss bottles are also challenging, requiring players to either work together with other players or skillfully utilize their character’s special moves in conjunction with kicks and punches to take out bosses like Taskmaster, who require teamwork to break his defenses, opening him up for attacks.

Overall Thoughts

Marvel Cosmic Invasion

Source: DOTEMU / Tribute Games / Marvel Cosmic Invasion

Marvel Cosmic Invasion was one of the games we were already excited about before our preview. Getting hands-on with the game has only increased that anticipation.

Based on the sample size we experienced, Tribute Games and DOTEMU have another hit on their hands. With the addition of new characters, such as She-Hulk and Rocket Raccoon, this game could become one with high replayability over time.

Keep it locked on HHW Gaming for a full review of Marvel Cosmic Invasion ahead of the game’s release.

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She-Hulk and Rocket Raccoon announced as playable characters in Marvel Cosmic Invasion. marvel cosmic invasion

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She-Hulk and Rocket Raccoon announced as playable characters in Marvel Cosmic Invasion. marvel cosmic invasion

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