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Case Introduction• Xbox is a gaming console by Microsoft• It was launched in November 2001 to compete with Sony’s PlayStation 2 & Nintendo• Designed for passionate gamers & for gaming enthusiastic• Target audience were between 16 to 26 years of age• Microsoft entered in gaming section because its dependence on Software & Rapidly booming market.• “Razor & Blades” Business model
Limitations of Xbox• Emphasis of game developers on its features than design• Resulting in very bulky console & huge controllers• Uncomfortable for users to play using such controllers• No USB Port• Lack of Popular Games as compared to PS2 & Nintendo
Features of Xbox• 733MHz CPU• 250 MHz Nvidia graphics chip• 64MB RAM• DVD Drive• 8GB Hard drive• Ethernet port• 3-D audio processor with 64 audio channels
Xbox 360• Project assigned for making new Xbox named as Xenon.• Development was carried out away from Microsoft headquarters.• Opted for semi-custom chip design & used their own ideas for developing Gaming console hardware.• Aimed at reducing product development cost & expected the product to launch in market by 2005 before the release of PS3.• Focused on bringing out a console that is high on performance & would not overheat easilly.
Process & Design• IBM & ATI Technologies provided a customized Graphic console chips for Xbox.• IBM speeded up the manufacturing process & completed the work well before the deadlines.• Integrated approach was followed by MS, during development of new console.• The new console was named as Xbox 360, as the console was build in 3D era , the gamer is put at the centre of the experience.• The Xbox 360 was 30cm in height & 7cm wide, this was after the 1st version received some bad reviews for its huge size.
Features• Graphics - Xbox 360 redefines what games look like, sound like, feel like, and play like, With Xbox 360, epic worlds are alive with detail.• Digital Entertainment : Allows you to do more with your music, photos, video, and TV. Watch progressive-scan DVD, Copy music to the Xbox 360 hard drive and share your latest digital pictures with friends• Personalize - Xbox 360 lets you create your own unique system and experience. Switch on your system and customize the look and feel of the Xbox Gamer Guide and Xbox System Guide.
Features (Continued)• Xbox Live - • Xbox 360 when connected to your broadband connection gives you instant access to Xbox Live Silver. • Talk with others using voice chat and access Xbox Live Marketplace. • It was also used by the game developers to show the trailers of the games being developed. • It allowed users to remain connected through “live aware”.
• Xbox 360 Console : Powerful and sleek high-definition Xbox 360 Package gaming and entertainment with premium chrome finish• Hard Drive: Save games, download new content, and play best-selling original Xbox games. Comes pre- loaded with an Xbox Live Arcade game and more.• Wireless Controller :Precision, comfort, and control with wireless freedom• Xbox Live :Includes free Xbox Live Silver, 30-Day trial of Xbox Live Gold Included (full Gold version sold separately)• Headset :Talk, laugh, and listen on Xbox Live• Ethernet Connectivity cable :A fast, direct connection• Component HDAV Cable :Optimised for standard and HDTVs
Xbox 360 Launch• It was launched on November 22, 2005 in US & then subsequently in European & Asian countries.• MS spent US$ 500 million on this campaign which ran over 8 months across the world.• The result was fantastic, as 1.5 million consoles were sold with shortage reported due to high demand at several places.• The consoles were pre-booked & in several cases they were sold at higher price upto US$ 600 on eBay.• Apart from an overwhelming response in US & Europe, in Japan several consoles were left unsold.
The Road Ahead30 • By the end of 2006 Microsoft had sold 10.4 million consoles of Xbox 360.25 • This was much more than the sells of their competitors , PS3 & Wii.20 Wii15 Xbox 360 PS31050 2005 2006 2007 2008 2009