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Xbox 360 console sales down 48 percent in last quarter

For the past three months, the NPD Group has been recording huge double digit percentage drops in retail sales in the US for both video game hardware and software. Today, Microsoft confirmed that sales of its Xbox 360 game console are falling fast.

As part of its quarterly financial results, Microsoft showed that it only sold 1.4 million Xbox 360 console units worldwide in the three month period that ended on March 31. Microsoft said that was a drop of 48 percent compared to the same time period a year ago.

Microsoft tried to put a silver lining to this report, saying that the Xbox 360 leads the US in game consoles with 42 percent of the market. However, there's no escaping the fact that lots of people have bought the Xbox 360 already and that future sales numbers could continue to see drops.

Overall, the Entertainment and Devices division of Microsoft, which contains the Xbox business, had revenues of $1.62 billion in the last quarter, down 16 percent from the same period a year ago.

Microsoft has already said it does not plan to talk about its successor to the Xbox 360 at E3 this June. The big question is what will Microsoft talk about at E3, besides new games for the console?

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