Microsoft Blames 'Soft Gaming Console Market' for Loss

Microsoft's third-quarter financials are in and announced. Everybody is excited. “We continue to execute well across our businesses, and we are seeing robust demand for our enterprise products and services,” says Kevin Turner, chief operating officer at Microsoft. But something's gone wrong with games.

Kevin says that, “Our investments and offerings in the database platform and public, private, and hybrid cloud are helping our customers transform their operations to meet today’s evolving business demands.”

But we then see this:

"The Entertainment & Devices Division posted revenue of $1.62 billion, a decrease of 16% from the prior period due to a soft gaming console market. Xbox remained the top-selling console in the U.S. for the 15th consecutive month, and the company announced new television content partners and experiences for its 40 million Xbox LIVE members."

Say that again, "a decrease of 16% from the prior period due to a soft gaming console market". We were all lead to believe that everything in the Kinect-fertilised garden was rosy. It appears otherwise. Please explain Microsoft.

Source: Microsoft