But MS didn't stop Sony. PS2 has gotten into 150 million living rooms, give or take, but that hasn't won Sony the living room content market which is being contested by smart TVs and web services. And if 360 didn't exist and all those 360 sales were PS3 sales, which I'm not sure they would be, Sony wouldn't be much better off than they are now IMO. They wouldn't have gotten their content services like Qriocity out any quicker. Maybe even slower given a lack of obvious competition!
I'm not sure that's the way to look at it.
From MS's POV. They wanted a presence in the presumed digital ecosystem in the Living room and home of the future.
They had already tried WebTV. Failed.
Computers weren't really a living room item so something had to be done to try to convince people to put a computer in their living room. So MS went two routes.
One...
They tried Media Center. Failed. At the time HTPC's weren't that common (arguably they still aren't). And the few attempts (Gateways Big Screen Media TV entertainment computer system) failed rather misearably.
Basically a computer in the living room but with TV friendly interface and media playback.
Bzzzzzzzz, people didn't want a computer in the living room at the time. So fail. And its successors (small HTPCs) still haven't gotten much living room penetration, as people still (in general) don't want a computer in the living room.
Two...
At the same time they were launching their Xbox system. The Xbox itself may be considered a failure in that it didn't come anywhere close to being a good return on investment by itself. However, it allowed MS to pioneer, integrate, and refine their online + media + game system. Although it wasn't until X360 that media was finally truly integrated and refined (unless you had a hacked Xbox
).
Basically a computer in the living room, but wrapped in a console looking package with console controllers and banning the use of anything that might make it appear like a computer (keyboard and mouse primarily) or act like a computer (desktop and applications).
DING DING DING. It's a computer but not a computer. Not a success by itself, but a far larger success than the Media Center computer push. And its successor finally fulfilled the vision and is pretty resoundingly a success.
Welll, one out of two isn't bad.
And they realize just as Sony does, that the console by itself won't be enough to establish a dominating presense. Sony has a bit of an advantage here (just like they had an advantage with the PS2 being an established brand) in that they have a fairly robust home electronics division. Thus they can incorporate things easily into their TV's, receivers, whatever.
MS appears to be looking at enhanced set top boxes. Details are sparse at the moment, but it's also possible they could be looking at inclusion in TVs at which point there's going to be competition from Google also.
The whole Xbox console line has been only one prong of MS's push into the living room.
The other prong of the push is still evolving. I'm imagining the hints we're getting of a MS set top box or TV integration is just an evolution of their Media Center push. Or perhaps a merging of the Media Center push with a ressurection of their WebTV.
Regards,
SB