Microsoft Ready To "Take On'' Google and Apple TV
Antisyzygy writes "Microsoft is getting ready to offer an internet television solution of its own, and will demo a TV box this week at the Consumer Electronics Show in Vegas." The rumor is under $200 putting it more on price point with GoogleTV at the moment.
Once again MS arrives late to the party with an offering that likely won't offer enough to be competitive. Good ol' MS: Reactive rather than proactive.
If a Revue is $300 and an AppleTV is $100, it seems like a $200 device is aimed at both of them.
Are any TV solutions relevant now that Netflix is streaming? Granted, they don't stream everything, but that library seems to be growing.
Many new TVs have Netflix interfaces built right in. What's the point of these other solutions?
(And doesn't Microsoft make a set top box... Um, the Xbox??)
If MS has something like all-you-can-watch video similar to the all-you-can-download subscription system for the Zune, it might be something worth considering.
However, why does MS need a TV set top box? They already have one... the XBox 360.
have a higher or lower price point?
A sluggish box built of mediocre parts, running a new "Windows 7 Home Center Edition" that really wants 2 GB but only get 1 GB. Shipping from Samsung at the time of CES 2011! Can play anything, such as Windows Media Video and DivX, although users of FLAC, Ogg, or other "obscure formats" are out of the picture. People start wondering why they can't just as well buy a Boxee and be much better off for a similar price, and Steve Ballmer has no answer to that.
Beware: In C++, your friends can see your privates!
I have my own "internet" box that also run cable. The total cost of the entire system to build? About $200 or $300. It is a pc with Windows 7 on it and it uses Windows Media Center. Why would they try to push out more hardware when the software company already has a solution? I guess it seems like a waste or resources to me. They could be working on security for Windows 7 or getting more people working on stuff for IE9 or something. There is absolutely no need for a Microsoft set top box when for the same price any reasonably intelligent person can build a small pc with W7 on it and just use WMC instead
The world is how you make it
I want my, I want my, I want my M$ TV.
I want my, I want my, I want my M$ TV.
Now look at them yo yo's, that's not the way you do it
You don't watch the Internet on the M$ TV
That ain't workin, that's not the way you do it
Money for nothing and your netflix arn't free
Now that ain't workin', that's not the way you do it
Lemme tell ya, them guys ain't dumb
Maybe get a blister on your little finger
Maybe get a blister on your thumb
Matty
Perhaps because a game console is geared more for, you know...games. There are formats that the Xbox 360 doesn't play. There's also the issue of noise and reliability. Not to mention user interface.
Oh. Great.
(sniff)
Mmmyep.
When MS adopts .MKV file container I'll give it mind share.
Can MS push the ISP not to cap / slow this down?
The one think they can hold over them is Windows update and how bad it can be for that to get capped or slowed down.
I wonder if it make a good hacking platform. The under $200 pricetag puts it on my radar for a hacking project.
If I were God, wouldn't I protect my churches from acts of me?
Netflix is great when you want to watch old content. Hulu is OK for newer content. Both suck when it comes to more specialized content, Comedy Central, SiFi, HGTV, Sports etc. If MS can crack that nut then they might have a chance. Currently I'm considering switching from OSX / EyeTV to Windows 7 Media Center because when it comes to shuttling encrypted content (ie cable card) around the house MS is the only game in town.
The Zune gave no competition to the iPod. The Kin gave no competition to any phone. The Windows phone isn't giving any real competition. Hell, why are we talking about MS and competition? They didn't even compete with Windows and DOS! They stifled competition rather than compete with it.
Microsoft's corporate culture doesn't know how to compete. In fact it's funny you mention the xbox 360, because Microsoft is so bad with competition that they just created something that will compete with their own product!
"All great wisdom is contained in .signature files"
Here's what happens when you just hand a computer to a poor person: http://www.freep.com/article/20101230/NEWS01/101230095/DPS-says-teacher-tried-to-pawn-school-laptop
From a Microsoft stock holder : NO. NO, NO, NO.
Microsoft does ONE thing well : it hires thousands of competent programmers and it makes usable software. There are many critics but the stuff isn't all bad and they do try to improve it. It SELLS the software to users, and because it has so many customers, the revenue vastly exceeds the cost of paying thousands of programmers. They have a swanky corporate headquarters with all the free soda you can chug, and many many 6-figure jobs.
It's failed miserably at EVERYTHING ELSE IT HAS TRIED. As far as I know, it has not made ONE DOLLAR OF NET PROFIT ON ANYTHING ELSE.
It's wasted billions of dollars trying to compete as an online portal and as a search engine. A company crammed to the brim with top CS grads and extremely good custom software SPECIALIZES in search and basically nothing else. Expecting to ever beat them and make more money is a fool's errand.
It's wasted more billions, with little or NO net profits on gaming consoles. (MAYBE it's finally breaking even on that, but I doubt it)
And 50 other assorted ventures that never made a dime that we don't hear about.
Software is STILL a good idea. How about the executives pay dividends and focus on doing their core business WELL.
They already have Media Center for Windows, the XBox 360, and Media Center Exteders... they're going to add something ELSE to the mix? Never mind Zune.
What is it with Microsoft always just throwing layers and crap out there, making things confusing and complicated. Can they ever stop and think something through, and put out something that is cohesive, simple to use and understand, and useful?
- Spryguy
There are three kinds of people in this world: those that can count and those that can't
I'm all for MS bashing, but really guys, do some research first.
1) Microsoft has been slowly perfecting their TV delivery platform via Mediaroom. It is licensed exclusively to service providers such as AT&T or TELUS right now.
2) Microsoft has also granted these providers permission to use any Windows 7 PC/7 Phone/Xbox 360 as an endpoint for Mediaroom.
3) All Mediaroom compatible set-top boxes are already running embedded Windows CE.
So if you're going to say "they've tried this before a million times, they can't do it", I assure you, they can - all these devices need to do is receive a Mediaroom stream from the Internet. AT&T and TELUS deliver their streams using Multicast to your house and charge you $50+ per month - Microsoft can do the same via Unicast for free.
If there's one mistake I can see Microsoft making in 2011, is losing their grip on the enterprise so much that their competitors will gain a stronger foothold there. It's long been a pretty MS exclusive zone, but these efforts on Kinect, consumer-oriented Windows Phone 7, and rumors of Windows 8 being a cloud-oriented OS sounds risky if they're still shooting for the enterprise. These guys want to control their own network, they often don't want to rely on clouds, and they want enterprise-oriented phones, not awesome Facebook integration as a priority...
Beware: In C++, your friends can see your privates!
From a Microsoft stock holder : NO. NO, NO, NO.
Microsoft does ONE thing well : it hires thousands of competent programmers and it makes usable software. There are many critics but the stuff isn't all bad and they do try to improve it. It SELLS the software to users, and because it has so many customers, the revenue vastly exceeds the cost of paying thousands of programmers. They have a swanky corporate headquarters with all the free soda you can chug, and many many 6-figure jobs.
It's failed miserably at EVERYTHING ELSE IT HAS TRIED. As far as I know, it has not made ONE DOLLAR OF NET PROFIT ON ANYTHING ELSE.
It's wasted billions of dollars trying to compete as an online portal and as a search engine. A company crammed to the brim with top CS grads and extremely good custom software SPECIALIZES in search and basically nothing else. Expecting to ever beat them and make more money is a fool's errand.
It's wasted more billions, with little or NO net profits on gaming consoles. (MAYBE it's finally breaking even on that, but I doubt it)
And 50 other assorted ventures that never made a dime that we don't hear about.
Software is STILL a good idea. How about the executives pay dividends and focus on doing their core business WELL.
Yeah, no. They're making hand over fist licensing the Xbox platform to game publishers. They make money by selling virtually nothing. Who cares if they give the razor away?
postmodernsideshow.com
Virtually all film and TV works that Netflix owners demand are copyrighted to studios that require digital restrictions management. Unlike Xbox 360, iOS, and presumably Windows Phone, Android has no unified framework for digital restrictions management. So Netflix has to code to each manufacturer's DRM API.
those new TVs have support for apps in general.
But who is authorized to develop applications for these televisions? Do they all have the equivalent of Android's "Unknown sources", or do some TV makers shut it off like AT&T does on its Android phones?
It's wasted more billions, with little or NO net profits on gaming consoles. (MAYBE it's finally breaking even on that, but I doubt it)
Where do you get that figure from? XBox broke even a long time ago and has been churning a profit ever since.
It's wasted billions of dollars trying to compete as an online portal and as a search engine. A company crammed to the brim with top CS grads and extremely good custom software SPECIALIZES in search and basically nothing else. Expecting to ever beat them and make more money is a fool's errand.
So is a search engine not considered a piece of software now? You say that Microsoft should stick only to software, but when it comes to certain software you so they shouldn't try it. What are your thoughts on Windows Phone 7? Should it be tried because MS only wrote the software and gave specific requirements on the hardware to the manufacturers?
Yeah, no. They're making hand over fist licensing the Xbox platform to game publishers. They make money by selling virtually nothing. Who cares if they give the razor away?
The combined losses of the XBOX program since its inception are in the neighborhood of 7 billion dollars (with a B). On a good quarter the Entertainment & Devices division makes a 300 million (with an M) dollars profit. And they're on an upswing right now because the 360 is a mature platform. The development and marketing of next generation hardware will probably eat away at those profits (IMHO they'll start losing money again). There is no way XBOX will ever make its accumulated losses back.
cable companies encrypt their content rather than filter it from entering the home so for premium channels you need STBs from your provider. My solution is to simply ignore those channels
Then everything but the local channels must be "premium" because Comcast encrypts everything in my home town.
and the cable co can ignore the money
Not if they're already getting my money for Internet access.
Has even that covered the sales of the original Xbox?
What matters is having that "Netflix" button on your remote - isn't content still king here?
I have a MythTV that is somewhat of a time hog because I am constantly tweaking and updating it as part of a home server, when I should leave well enough alone. I use the MythTV more (but only slightly more) than my Roku Netflix player. Netflix lets me watch TV series on premium channels I don't subscribe to like Showtime (though a year late). But for watching current TV series, on major networks, time-shifted, and with the advertisements automatically cut out, nothing beats Myth (or other advanced DVR).
Watch the hyphen. A "Microsoft free lifestyle" in grandparent's signature isn't the same thing as a "Microsoft-free lifestyle". A "Microsoft free lifestyle" includes the use of free software on Microsoft platforms, and it includes the use of software under the Microsoft Public License or Microsoft Reciprocal License.
Makes me wonder what else might be wrong with the article:
Reuters said in November that the company had been in talks to turn the Xbox 360 into a cable TV set top box for a monthly fee, although it was said at the time any service was a year away from becoming a reality.
You can get cable TV over IP in some places with a 360 (e.g. Foxtel in Australia).
Microsoft has a business model that requires increasing revenue and profit.
The primary sources of MS's revenue have plateaued or are dropping: Windows, Office, Server2008, XBox are not increasing in total revenue. Phone/Mobile is not producing much revenue.
The only way that MS's revenue can be increase in a stagnant market is to take it from someone else. In this case they want to take it from OEMs. Instead of there being a 'Dell TV' running MS WMC and letting Dell take in revenue (if at all) it will be a MS TV running WMC and MS will count all the revenue, not just the WMC.
Next there may be an MS XPC which Dell and Gateway will have to compete with.
In all honesty, Windows 8 and 9 could be some kind of cloud-oriented giant middle finger to Enterprise and they wouldn't be hurt as badly as you might think. Look at the number of companies who are still using Windows XP and are only possibly considering moving to Windows 7 within the next few years, but may just skip it and wait for the next one.
There's the whole Vista debacle which people like to point to as part of the reason for so many businesses sticking with XP, but even if Vista were twice as polished as 7 is at this moment, there would still be loads of companies still running XP.
Microsoft honestly only needs one worthwhile enterprise operating system every decade, because it seems as though a large number of companies are perfectly happy with that. Microsoft could split Windows into two editions, Enterprise and Home. Home gets the bells, flash, and chrome. The enterprise edition gets quick bug-fixes, extended support, and continued performance tuning. If they're careful enough, they can keep the two versions compatible to a large extent.
What has been lacking has been clear leadership and direction, not marketshare, technical know-how or PR. And it doesn't help that they keep making new projects without thinking them through, then killing them before they have any reasonable expectation of success. Sounds more like a company self-destructing from internal politics instead.
Starbucks, Harbuckle of Breath.
Even if Samsung phones support Silverlight DRM, other phones that run Android don't necessarily. As I understand a recent story about Netflix's use of free software on the server and not the client, Netflix would have to make an app specifically for Samsung phones and other apps for each other manufacturer.
Where do you get that figure from? XBox broke even a long time ago and has been churning a profit ever since.
Citation needed.
Yeah, no. They're making hand over fist licensing the Xbox platform to game publishers. They make money by selling virtually nothing. Who cares if they give the razor away?
They sank >$5B over the whole life of XBOX, and only recently started reporting >$100mil profit per quarter. Heh, Kinect alone cost them $600mil in failed experimentation (in the end they licensed third party technology, there is ZERO M$ technology in Kinect) plus another $500mil for advertising.
Who logs in to gdm? Not I, said the duck.
I propose that the bill icon change
A couple of observations:
The biggest competitor to Microsoft in the areas they have traditionally been successful is....Microsoft. Windows XP has been "good enough" for a large audience, and 10 years from now, Windows 7 will be "more than good enough" compared to whatever version of Windows will be shipping then. Same with Office. Most of the other applications are either given away for free, or are not nearly as profitable.
The reason Microsoft is so interested in "the cloud", is that these are services they put reoccurring charges on. Xbox live memberships, Zune pass memberships, streaming media (music, movies, etc), are all services they can charge for until the end of time.
Microsoft is still hurting from the loss of market share for search (Google) and Music (iTunes). Of course they are interested in streaming video, and so is Apple and Google. Whichever one creates the market place that obtains the most users is in place to have a cash cow that can be milked for a very long time.
As a Microsoft employee and stock holder, I do want them to go after this market, because there is a lot at stake here. Unless Microsoft has a strong strategy, Apple will likely be the victor within the next year or two.
All MS need to do to take over the set top work is put a couple cable card readers in the 360 and allow external storage for content it records. Let it surf the web and ingrate netflix and Hulu. Sell that as the premium xbox360 Media Center and sell it for around the price of a TIVO and within a year or so it will have taken over the world.
Maybe you don't understand what drives stock price: growth. If you want to invest $20,000.00 today in MS and get $20,000.00 back 20 years from now, you probably want MS to keep doing what it is doing. It does do it well, but it also owns the market for what it does. If MS has 90% of the OS and Applications market, how does it grow unless the entire market enlarges? Ever wonder why Apple's stock is on fire? It has three product lines, all with massive growth potential. Look at the Mac. It was at about 2.5% marketshare a few years ago, now it is at about 10%. That's 400% growth. I want to see MS experience even 10% marketshare growth. It can't. This is why it is imperative that MS seek new markets and new product lines. This is a valid business strategy, not a bipolar episode.
Besides, Google TV sucks ass, so all MS has to do is make a slightly cheaper, slightly less ass-sucky product and it should be able to capture some marketshare.
If I had to guess, this would be a multi-point approach solution. The service would feed content to XBox, Media Center PC, and a set top box.
Keep in mind that for many users (my parents being an example), an 'appliance' is what they are looking for, and the XBox and Media Center PC don't fit that criteria. I don't want to deal with the XBox UI just to watch a TV program. The XBox also does not have digital cable decoding, etc. Media Center PC requires that a geek live in the house, to keep the damn thing patched etc. I personally use a Media Center box at home, but wish I had something more basic and closer to fixed function.
Saying there's 0 MS technology in Kinect is just flat-out wrong. PrimeSense did some depth-sensing work. There's also skeleton and facial recognition and voice recognition and other technologies.
http://www.joystiq.com/2008/01/24/the-xbox-turns-a-profit/ Xbox turns a profit starting First quarter 2008. http://news.teamxbox.com/xbox/20346/Xbox-Division-Records-Second-Profitable-Year-in-a-Row/ 2009 ends 2nd year of profit for entertainment division on high sales from Xbox/xbox360 even being a tough year the xbox brand carried the division. http://www.gamasutra.com/view/news/28220/Xbox_360_Division_Pushes_165_Million_Profit_For_MS_Q3.php 10% profit for entertainment division on Xbox sales. http://www.joystiq.com/2010/10/28/microsoft-announces-record-q1-revenue-thanks-xbox-360-consoles/ MS sites xbox360 as big part of profit numbers. http://xbox360.gamespy.com/articles/110/1104553p1.html xbox live had $1billion in revenue for 2010. I know you guys hate MS and want to see them fail but that took 2 minutes.
http://news.teamxbox.com/xbox/20346/Xbox-Division-Records-Second-Profitable-Year-in-a-Row/
That's 2009. Profitable again in 2010.
Usually when people say xbox isn't profitable they are using a deviant definition of profitability that counts sunk costs from years previous.
I partially agree Microsoft does have a weird problem where they have more than one product to do the same job,
For example
Windows Media Player, The Zune Desktop Software, Windows Media Center on the desktop all for playing content on one's desktop
Play for sure and Zune's DRM for Digital Rights Management on Portable Players
Windows Live Sync, Mesh and Skydrive. All provide overlapping "cloud" storage syncing that should be merged together.
IE 6, IE 7, and IE8.. oh wait that one is a joke
But When it comes to getting Media Center on a TV the experience is less than optimal, you have 2 options
Media Center Extenders(including Xbox 360), I have tried on a few occasions to get my Xbox functional as one of these it works decently, but i kept running into issues because my home network is bad, and I have no control to fix the network. Essentially the issue was that each time I reconnected to my PC running WMC it would see it as a new computer and try to get me to re-register the device, which then in turn had to recreate the local cache of the desktops media library, which took too long to be convenient. Eventually I switched over to using another media streamer that worked with the Xbox that did not have to do registration and caching.
Roll your own Windows Media Center HTPC
Great in theory much better than using the extender.. not for the general population). The only other Media Center software,that i can think of, that can rip live TV is MythBox. Although personally if XBMC had this capability then it would be my preferred option.
As for what this new device sounds like from this article is the second option all in a self contained box, which is great if it retained it PVR functionality and is able to stream from local network computers (it probably will use home groups but that is a small price to pay). What I hope does not happen for this is removal of user addable codec. It is windows CE based so it will be ARM based as well which means some codec will need to be ported but still better than nothing.
If this is done right it should fill a demand that is not being met by their 2 other products which are meant to be working together.
it would also be wise to price it close to the Boxee, Apple TV and other products of the like. I will be willing to pay more only if it has PVR capability which in theory would mean not an additional box but rather just replacing a box, and is also not being done by any other consumer device that attempts to merge the Web with TV.
Or if it is considered one, it's horrible. It plays a very limited amount of media.
The Kruger Dunning explains most post on
Microsoft is new to hardware. What used to be major losses are growing into minor losses. There are some growing pains to be sure but Microsoft will make a profit outside of Windows and Office, and it's only a matter of time because it's do or die. In the meantime, we get great hardware like the Zune HD. As a fellow Microsoft stock holder, I say: bring it on.
Microsoft does ONE thing well : it hires thousands of competent programmers and it makes usable software.
That's two things.
Oh.
I see what you're saying, now.
Yeah, no. They're making hand over fist licensing the Xbox platform to game publishers. They make money by selling virtually nothing. Who cares if they give the razor away?
They sank >$5B over the whole life of XBOX, and only recently started reporting >$100mil profit per quarter. Heh, Kinect alone cost them $600mil in failed experimentation (in the end they licensed third party technology, there is ZERO M$ technology in Kinect) plus another $500mil for advertising.
On what planet are you living that $100 million in profit a quarter isn't a miraculous corporate windfall?
If MCE requires onsite tech support then that indicates a fundemental problem
with Microsoft itself since they can pretty much ensure that Dell ships any sort
of PC they want them to. They could force them to build and ship the ultimate
Tivo knockoff if they really had the will. The same goes for delivering an OS that
does not require an onsite geek to manage.
An actual Tivo is nothing but a Linux box with a proprietary GUI.
If Tivo can do it with an ancient version of Linux then why can't Microsoft do it
with Windows? Another fragmented product isn't the answer. If they could they
would by now. If they haven't then it's due to lack of will or just pisspoor tech.
The family likes the HTPC more. After using MythTV, they don't want to go back
to the Tivo. I would have a revolt on my hands if I tried to force them. They really
do like the user side of the HTPC experience more.
A Pirate and a Puritan look the same on a balance sheet.
no, but one legislation could do the trick
it is called 'net neutrality'
A planet where, out of the previous 30ish quarters, the division had like 2 that weren't losses? Shit man, if you think 100 million is a windfall and all they had to do was spend a few billion more than they earned, you can give me every cent you can get your hands on. I will return a windfall of 1/2 of one penny per dollar in a year's time. We can both consider ourselves ahead of the game.
Can't Microsoft ever make something original. Why do they have to stop or feel threatened by any product out on the digital market? Look, Zune and WindowsCE lost. They just wont give up.
http://saveie6.com/
At a guess, they'll be creating a solution which involves a cut down version of Windows 7 and Windows Media Center so that vendors can simply load it onto some custom powered hardware.
My HTPC is an Asus EeeBox EB1012 with Windows 7 Home Premium (£280), WinTV-NOVA-TD Dual DVB-T Stick (£55) and an MCE remote (£25). Total cost is £355.
Unfortunately for Microsoft, I can buy a Humax PVR9300T500 for £189. Yes, it doesn't do everything my HTPC does, but it's significantly cheaper. They need to get the price of their own software down so that vendors can produce something in this area.
Regarding timing, here in the UK, Freeview HD PVR's are few and far between and very expensive (Humax have one for £350) and the BBC backed YouView has not yet materalised. If Microsoft can reduce their software down so that a vendor can quickly release a dual DVB-T2 product at a competitive cost, then they have a good chance of grabbing a chunk of the market as there are plenty of people who have HD TV's but not a receiver capable of getting HD content.
Avantslash - View Slashdot cleanly on your mobile phone.
Why do you keep your money invested in them when they make all these poor decisions? I mean, their stock has been falling or flat for a DECADE.
It seems to me your analysis of their business moves is a good one. I'd wait until they show signs of recognizing the essential truth of your words before investing in them.
expandfairuse.org
I'm really counting on MS to lead the pack with innovative, sexy, fun, easy to use and reliable stuff.
I'll go back to my smoke now... tastes funny today, maybe because it's been is the back of my dad's closet where I found it for too long ?
The Cloud - because you don't care if your apps and data are up in the air.
Usually when people say xbox isn't profitable they are using a deviant definition of profitability that counts sunk costs from years previous.
Yeah, because everyone knows if you spend $5B on something in the first year, and it makes back $3B over the next five years, you can call that $3B profit.
Microsoft might be able to break even with the 360. If their next generation is any good (and there's no reason it shouldn't be decent -- the 360 is a fairly decent platform, though XBox Live is like living in a mall), they might actually turn a profit on the whole enterprise.
Microsoft has proven it has the tenacity to buy its way into a market over the course of several years. It'll be interesting to see if they have what it takes to move into the set-top box market.
Microsoft is to software what Budweiser is to beer.
You have to spend money to make money. If they stagnate then in time they will become another Sun, just a bunch of geeks with no business plan.
Wow, now we'll have the BSOD on the TV. This company continues to amaze me.