Blizzard Tops Xbox Studios in FY2026 as Overwatch, Diablo IV Drive Third-Best Revenue Year
Updated
Updated · player.one · Aug 10
Blizzard Tops Xbox Studios in FY2026 as Overwatch, Diablo IV Drive Third-Best Revenue Year
3 articles · Updated · player.one · Aug 10
Summary
Leaked internal emails said Blizzard finished fiscal 2026 as Xbox’s top-performing studio, according to a memo from president Johanna Faries that surfaced online.
FY2025 and FY2026 marked Blizzard’s first consecutive growth years since 2017, with Faries citing Diablo IV: Lord of Hatred and Overwatch as the main drivers; Overwatch posted its strongest quarter since 2022.
That performance stood out because Activision and King reportedly slumped in FY2026 after a weak Call of Duty: Black Ops 7 launch and a difficult stretch for Candy Crush.
Blizzard’s rise comes during a broader Xbox restructuring that has included layoffs and studio spinoffs, as Microsoft pushes its gaming division toward sustainable growth by fiscal 2027.