Microsoft XBox Live has 25 million users and their revenues are likely over $1 Billion, according to a recent report by Bloomberg. The revenues are driven by their 25 million paying subscribers and their sales of videos, avatar virtual goods and extra game levels. The XBox Live service is one of the most popular gaming network services in the world, and as they introduce features like Hulu and Kinect, the plan is likely that the XBox becomes the set top box for the home.
