How Did Microsoft Pull Off the Xbox?

[psychic_dream]

Trying to break into the console market as a company known mainly for software services, with no game development experience, was definitely a huge challenge for Bill Gates. Sony was lucky to have crushed the competition as the new kid on the block, yet Microsoft still did surprisingly well with their first console effort. But the real question is: how?

Without in house game dev expertise, they relied heavily on third parties. Halo: CE looked impressive at launch for a console game, and Ninja Gaiden Black was solid. It helped build bridges between Japanese developers and the Xbox team. Third party support was notably strong.

The console was incredibly powerful for its time, an all in one system capable of pixel shaders in 2001 was unheard of. Their take on online multiplayer was innovative in the console scene. All of this, combined with a $300 price tag, made it a compelling value.

Beyond these factors, what else did Microsoft do differently that helped them break into such a cutthroat market?

[psychic_dream]

While we’re discussing this, what was behind the Xbox 360’s success? And where did Microsoft go wrong afterward?

[Vergil]

What is the point of asking a question that you will then answer in the OP?

[Oyster Sauce]

Blinx

[Val the Moofia Boss]

Aggressive "macho" marketing, sorta like SEGA's niche as being "edgier" than Nintendo but this time with USA space marines (bear in mind that this was during the war on terror years and the post-9/11 revenge frenzy when joining the army and the marines was still in vogue, there were lots of psychopathic American military movies coming out, etc) and stunt biking, etc, instead of snarky Sonic wagging his finger.

There are documentaries about how Microsoft's overly aggressive American negotiating tactics alienated several Japanese devs they approached, so they were not able to secure a JRPG market share or gain traction in Japan.

[J1M]

The reason the Xbox happened is because a few people at Microsoft went rogue, created a pitch deck, found out where the VPs were hearing pitches for the future of connected devices, and inserted themselves into a competitive process that beat out other ideas like a wifi fridge. The ultimate goal being additional devices running a Microsoft OS in people's homes.

[KnightoftheWind]

Aggressive "macho" marketing, sorta like SEGA's niche as being "edgier" than Nintendo but this time with USA space marines (bear in mind that this was during the war on terror years and the post-9/11 revenge frenzy when joining the army and the marines was still in vogue, there were lots of psychopathic American military movies coming out, etc) and stunt biking, etc, instead of snarky Sonic wagging his finger.

There are documentaries about how Microsoft's overly aggressive American negotiating tactics alienated several Japanese devs they approached, so they were not able to secure a JRPG market share or gain traction in Japan.

Microsoft terrifies japanese herbivore men confirmed?.

[Roguey]

People go where the games are, doesn't get more complicated than that.

[Norfleet]

Trying to break into the console market as a company known mainly for software services, with no game development experience, was definitely a huge challenge for Bill Gates. Sony was lucky to have crushed the competition as the new kid on the block, yet Microsoft still did surprisingly well with their first console effort. But the real question is: how?

They didn't. They lost money with every Xbox sold. That's why they hate it when you install Linux on them instead.

Beyond these factors, what else did Microsoft do differently that helped them break into such a cutthroat market?

Having "**** you" money, and control of the PC platform already.