Microsoft Chairman Bill Gates is dropping hints that he may be ready to license the brains of the Xbox gaming device to other companies. It's a risky move to better compete with Sony's PlayStation, according to one analyst.

Quote: In an interview with Nikkei Newspaper in Tokyo, Gates was asked whether Microsoft would consider opening the manufacture of Xbox units to third parties. Gates responded that "there is nothing concrete" but said the company is always talking with partners about how to expand the Xbox culture. Gates declined to give details, such as which companies Microsoft might be thinking about working with or if a license would be extended to the underlying software of other electronics equipment, such as handheld devices, PCs or home digital media centers.

Now wheres that Apple iBox picture gone....

I only see this happening two ways; Third party manufacturers building discount priced x-boxes for asia/developing countries (with localized language packs), or convergence devices. Convergence devices would let Microsoft sell licensing to electronics manufacturers, who would build all-in-one Tivo/DVD/Xbox/WebTV devices, to get the non-gamer/casual gamer to buy the hardware.

I don't see it happening...
were talking about MICROSHAFT here...
they don't play well with others.

I agree with Digital Micro-Suck will probly not do that, and If they do they will probly lose money and regret they did.

I look down on such a bold move myself. With Microsoft's track record of trying and monopolize on every market, the clear path of choice I see for the current half-decade-old xbox hardware would be to portiblize and compete head-to-head with PSP in the same way Xbox's hardware crushed the power of PS2's, but not that that would be the target market. What would be the most (imo) significant advancement in portable gaming would be the creation of a portable xbox live! -Just imagine the perfection of timing such a device would have, being released durring the widespread convergence of wireless networking/ internet among portable devices. -Add in a built-in web browser (sorry, but I doubt microsoft would include any other than it's sticks-and-straw IE), but it would be a PSP killer with native dvd playback (in lieu of keeping the XB's monster-size scheme, complete with a more cost-effective, better-looking, longer-lasting OLED screen possibly inches larger than the PSP's)

Well the way I see this can make money for them...MS.

1. They can make more money from the games that go to these systems
2. They get a fee for every system loaded...

This gen will last 2 maybe 3 years before the next gen and it will take a bite out of Sony at least they only could hope.

Quote: Originally Posted by Lokie Well the way I see this can make money for them...MS. 1. They can make more money from the games that go to these systems 2. They get a fee for every system loaded... This gen will last 2 maybe 3 years before the next gen and it will take a bite out of Sony at least they only could hope.

1. and 2. are both correct. They need more market share, Sony outsold/outsells the xbox by a high margin. Most real gamers have one and/or a PS2. Other companies could likely make cheaper knockoffs, without MS having to pay to develop a cost-cutting version 2. These would be for little Tommy's fifth birthday, casual gamers without an xbox, and possibly for non-USA use. Licensing the hardware lets them reap the benefits without spending capital; which is a win-win situation.

Quote: Originally Posted by ÃœBER<>POOP 1. and 2. are both correct. They need more market share, Sony outsold/outsells the xbox by a high margin. Most real gamers have one and/or a PS2. Other companies could likely make cheaper knockoffs, without MS having to pay to develop a cost-cutting version 2. These would be for little Tommy's fifth birthday, casual gamers without an xbox, and possibly for non-USA use. Licensing the hardware lets them reap the benefits without spending capital; which is a win-win situation.

Excellently put, in fact, perhaps I misunderstood this underlying fact (MS's profits coming more or less 90% from licensing alone) at the time of first post, thus I would like to include the idea of a third-party company buying the license to create a portable contender to PSP. (Though this seems like even a much longer shot, being as it would obviously cost alot to deseign in the first place, considering the revisions/ perhaps additional costs of revising the technology [sizes, possibly cataclysmic costs of revision upon old technology to the deseigners/manufacterers of varying custom parts etc, permission to tamper with the origionally designated spec, the list goes on].)