Intel Investors - Microsoft seems to be sparing no expense for their upcoming X-BOX which, as we know, will also have Intel Inside !!!
They are budgeting $500,000,000 for advertising once the X-BOX is launched - and I sure hope the Intel Jingle is part of each and every TV and Radio advertisement !
"Announced in February, the Xbox will be armed with a powerful Intel Corp. (Nasdaq:INTC - news) processor, an nVidia (RIC) graphics chip, a DVD player and the ability to connect to the Internet.
``Our hardware design is complete. We are now building the form factors, the forms to actually put components in. We are now at the stage where were making serious progress in bringing Xbox to life,'' Bach said. "
Paul
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biz.yahoo.com
Thursday July 27, 6:48 pm Eastern Time
Microsoft to spend $500 mln on Xbox video game
REDMOND, Wash., July 27 (Reuters) - Microsoft Corp. (Nasdaq:MSFT - news) said on Thursday it will spend half a billion dollars to launch its Xbox video game console in what will be its grandest product debut ever as it seeks to unseat Sony Corp. from the top spot in the fast-growing gaming market.
``This will be the biggest launch Microsoft has ever done,'' Robbie Bach, senior vice president of Microsoft's games division, told an annual meeting of financial analysts at the company's headquarters in Redmond, Wash.
Expected to launch in the fall of 2001, the Xbox would be backed by a $500 million marketing blitz in the first 18 months of its debut, Bach said.
``You can't do this half-hearted. It's a long-term investment and one we take very seriously,'' Bach said.
The Xbox will take on the Playstation 2, the long-awaited update to Sony's hugely popular video game machine that is to hit the U.S. market in October.
The Xbox will also take on a new machine from Nintendo set to launch next year, and Sega's Dreamcast, which launched last September.
But Microsoft clearly sees Sony as the one to beat, and Bach's presentation was peppered with references to how the Xbox will deliver better graphics and sound than Playstation 2, as well as be far easier to design games for.
The stakes are huge. The video game industry is expected to generate more than $7 billion in sales of consoles, games and accessories this year, and has already outpaced Hollywood's box office haul for an entire year.
Announced in February, the Xbox will be armed with a powerful Intel Corp. (Nasdaq:INTC - news) processor, an nVidia (RIC) graphics chip, a DVD player and the ability to connect to the Internet.
``Our hardware design is complete. We are now building the form factors, the forms to actually put components in. We are now at the stage where were making serious progress in bringing Xbox to life,'' Bach said.
The Xbox is Microsoft's latest attempt to expand its product lines beyond its core personal computer market, and joins its WebTV interactive television and MSN Internet services as key footholds in the living room.
``The PC market is very important to us because it's where a lot of the innovation comes from in terms of technology. But we have to be successful in more than just PC gaming,'' Bach said.
``Xbox really is designed to penetrate that marketplace. It's also designed to bring us another anchor tenant in the home.''
Microsoft was building an arsenal of about 30 games, some of which would launch with Xbox and others that would be released aftewards. Bach said development kits would be sent out to about 200 third party developers.
``Where the money will be made will be on software and publishing,'' Bach said. Apart from selling its own games, Microsoft would collect a royalty on Xbox games published by other software makers. |
