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Microsoft Moving Into Chip Design With Xbox Next 383

adamsmith_uk writes "According to ZDNet, Microsoft will more actively participate in chip design for the next version of its Xbox gaming console, tentatively called Xbox Next. By switching from using relatively standard parts to more customized silicon, the company can better optimize its game console, due in 2005. At the same time, the move potentially gives the company a toehold in a completely new market."
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Microsoft Moving Into Chip Design With Xbox Next

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  • wonderful (Score:2, Funny)

    by Naito ( 667851 )
    now we can build BSODs into hardware!
    • "The Borg are the absolute personification of evil in the galaxy. Their singular goal for biological and technological perfection compels them to assimilate all that stands in their way." -- The Borg

      Substitute Microsoft for The Borg. It's not that much of a difference. They started as an OS. Then came software apps and games. Soon to come antivirus, mainframes, and chips. What's next?

      • Great (Score:2, Funny)

        by Madmonky1 ( 708033 )
        "Soon to come antivirus, mainframes, and chips."

        So now I'm supposed to trust MS with anitvirus?
      • I hope you realize that the Borg are superior to humans. Only reason they lost is due to some lame stories cooked up by the Star Trek authors who were pro-human ;) A species based on assimilation will be extremely strong. Although, due to the their lack of diversity, one weakness will bring them all down.

        Sivaram Velauthapillai
    • IIRC the screen is green on the XBox
  • DRM (Score:5, Insightful)

    by Rosyna ( 80334 ) on Monday November 10, 2003 @03:15PM (#7435944) Homepage
    I wonder how much of this is to make it harder to pirate games or run linux on the XBox?
    • Re:DRM (Score:3, Interesting)

      by gpinzone ( 531794 )
      Linux yes. Pirating games no. Sony, Nintendo, and Sega have all used "non-standard" hardware and there has always been a way to pirate games. Let's drop the anti-MS stuff for a second and realize that a games console doesn't need to be a general purpose PC. MS can get more bang for the buck by designing this animal to the spcific application of games only.
    • Re:DRM (Score:5, Informative)

      by HardCase ( 14757 ) on Monday November 10, 2003 @03:23PM (#7436039)
      I wonder how much of this is to make it harder to pirate games or run linux on the XBox?


      Well, as the article [com.com] said, "They sure don't want to have a situation where an Xbox can be turned into a PC."


      -h-

      • Re:DRM (Score:4, Funny)

        by Demodian ( 658895 ) on Monday November 10, 2003 @04:27PM (#7436677)
        Hopefully, they will remember this and not port the Micoso~1 Office Game to XBox. While slaying the Werd beast in Look-Out tower with the Point of Power is difficult enough on the PC, we could use better RPG titles to make it worth the price of the new box.

        Unfortunately, the ability to hack a system into a useful device is not prevented by it being something other than a PC. Plenty of network boxes, PDAs, and embedded devices run Linux or any other non-M$ OS.

        It will simply be a matter of time before the system would be reversed far enough anyway to do some good for the mod community.
    • it might not be so much to prevent pirating or Linux computing on the X-box as a way to get into chip design and knowledge for the hardware required to implement Palladium - if MS is solely dependent upon Intel or AMD for implementation of "trusted computing" it may not be as able to control the implementation effectively, while if they have an internal resource to design and fabricate chips, they can compete more effectively with competing standards from chip manufacturers. Since the evil that is trusted
    • Linux? (Score:3, Interesting)

      by twitter ( 104583 )
      Harder to run Linux, maybe. Getting past their little BIOS BS to run x86 software on a no so spectacular x86 PC was not too much trouble. It might not be worth the trouble when you have to figure out what dumb thing they do next to the hardware on the other side. Time will tell if people put forth the effort. I told them then and I'll tell them now to spend their money and time on honest hardware instead.

      The flip side to this is that it will throw their own developers off. They, bless their suffering

  • MicroApple? (Score:4, Insightful)

    by Davak ( 526912 ) on Monday November 10, 2003 @03:16PM (#7435949) Homepage
    The IBM representative acknowledged that Microsoft is looking at the company's PowerPC technology, the underlying architecture behind the chips in Apple computers. PowerPC concepts will also be the basis of the Cell processor, which will contain multiple chip cores that handle a variety of tasks.

    Microsoft absorbs good ideas from multiple places... Here they are considering powerpc concepts!

    As I have said many time... Microsoft is very borg-like! I use and enjoy Microsoft everyday... but their ability to "borrow" technology and ideas is slightly disturbing.

    Davak
    • by Tim C ( 15259 )
      their ability to "borrow" technology and ideas is slightly disturbing.

      Then don't think of it as "borrowing" - think of it as learning. Surely that's something any good techy aspires to - to continue learning for as long as possible?
    • Re:MicroApple? (Score:3, Insightful)

      by iceT ( 68610 )
      but their ability to "borrow" technology and ideas is slightly disturbing

      No.. what's disturbing is they think it's 'innovation'. Why can't they just call it what it is: Integration.

      (and there's room for improvement there, too)

    • Re:MicroApple? (Score:3, Interesting)

      by stienman ( 51024 )
      The IBM representative acknowledged that Microsoft is looking at the company's PowerPC technology, the underlying architecture behind the chips in Apple computers. PowerPC concepts will also be the basis of the Cell processor, which will contain multiple chip cores that handle a variety of tasks.

      So, MS is going to have to port over a major portion of their kernel, including directx and a few other bits, to the G5? Is this like Apple internally porting OS-X to intel, but never letting the public have i
      • Re:MicroApple? (Score:4, Interesting)

        by Awptimus Prime ( 695459 ) on Monday November 10, 2003 @04:40PM (#7436783)
        Next version better have full-on network multimedia capabilities. I want to run my ripped DVDs on the TV without more than a network cord to me server. My current multimedia computer is too loud, and quiet ones are either too expensive, or too low end (no surround sound, etc)

        Then just get a normal Xbox, throw a mod chip [easybuy2000.com], then get a copy of XBox Media Player [xboxmediaplayer.de]..

        It works beautifully.

        Also, if the stock Xbox makes too much noise, improve it. I ripped out all the shielding and replaced the fan with a quieter one. It runs a few degrees cooler without that insulation, but collects dust more readily. I just leave the bolts out so I can pop the lid off and vacuum it out when it comes time to vacuum out my PC's (monthly)..

        Or you could quit trusting a HDD with all your rips and just slap them on a DVD(+/-)R and get a DVD player that'll read them reliably (all the progressive scan Sony's do, to my knowledge). :]
    • Re:MicroApple? (Score:3, Insightful)

      by swordboy ( 472941 )
      As I have said many time... Microsoft is very borg-like!

      And how is this different than, say, GM sitting by the wayside while other automakers figure out what works?

      Chrysler introduces PT Cruiser [edmunds.com] (2000) / GM introduces HHR [cnn.com] (2005).

      Toyota introduces gasoline-electric hybrid vehicle [yomari.com] (1997) / GM annouces plan for hybrids in 2007 [yahoo.com].

      It is common for the larger companies to let the smaller ones take the risks.
    • Re:MicroApple? (Score:3, Insightful)

      by NanoGator ( 522640 )
      "but their ability to "borrow" technology and ideas is slightly disturbing."

      Why? If it's a successful product, then they (typically) did something right with it.

      Often is the case that the 'inventor' of an idea isn't the one who made a product worthwhile. Look at Palm Pilot vs. Newton. Apple invented Newton, Palm made it a mass-market device.

      I could be mistaken about what you meant though, if you meant monopoly driven then I'd sort of agree. Thing is, though, Microsoft doesn't make a monopoly over e
    • In more ways than one.

      1987 - Steve Jobs forms NeXT computer
      1995 - Apple merges with NeXT
      1998 - Apple announces new OS "Mac OS X"
      2000 - Microsoft announced gaming platform - "X Box"
      2003 - Microsoft commits to PowerPC for Xbox, called Next.

      It's a funny thing about trademarks - you have to defend them by law. So, if you have limitless funds and you want to drain some cash from a competitor, just make a new product with a name similar to your competitors', and expect to change it later.

      P.S. I know, X windo
  • So they'll hardwire port 139 open on the metal?
    Best Mr. Burns voice: Excellent
  • Back in the 1980s, IBM considered the PC to be a fad. So when they introduced one, they used cheap off-the-shelf parts (intel 8086, etc) and had MS provide the OS. When it proved to NOT be a passing fad, IBM regretted it.


    The original X-Box was a reworked PC. Maybe they want a closed system for their next box so Linux won't run on it.

  • XBox NeXT? (Score:5, Funny)

    by dwm ( 151474 ) on Monday November 10, 2003 @03:17PM (#7435973)
    Steve Jobs: "Get my lawyer on the line!"
  • by oscast ( 653817 ) on Monday November 10, 2003 @03:18PM (#7435978) Homepage
    "X"Box - OS X
    "next" - NeXT

    Those who previously doubted Bill Gates love obsession with Steve Jobs be damed...
  • By switching from using relatively standard parts to more customized silicon, the company can better optimize its game console

    And they are effectively removing the aspect of XBox that made it cost effective and appealing to developers: easy porting to the PC through common components and CPU architecture.

    • by wfberg ( 24378 ) on Monday November 10, 2003 @03:37PM (#7436182)
      And they are effectively removing the aspect of XBox that made it cost effective and appealing to developers: easy porting to the PC through common components and CPU architecture.

      I very much doubt the ActiveX APIs on the next XBox will differ much from the ActiveX found on ordinary PC hardware. Most of the rest, the compiler takes care of. How difficult is it to port most apps from linux-ppc to linux-i386, or even from linux-ppc to freebsd-i386?
      The XBox already runs on not-quite-standard hardware and not-quite-windows-2k/xp..
    • by robson ( 60067 ) on Monday November 10, 2003 @03:37PM (#7436184)
      And they are effectively removing the aspect of XBox that made it cost effective and appealing to developers: easy porting to the PC through common components and CPU architecture.

      You know, I'm not sure this is really a relevant issue. Most Xbox games have *not* had PC ports. Granted, developers appreciate that the Xbox's structure is similar to PCs and thus easier to work with than, say, the parallelized PS2, but that's different from wanting it for ease of cross-platform development.
      • >You know, I'm not sure this is really a relevant issue

        It isn't, the first post doesn't know what he is talking about. There are lots of games which get released simutaneously across many different consoles at the same time. An example of a company who does this is EA.

        So developing for a single API isn't a problem or an advantage for certain companies.
    • Just wait and see. MSFT are normally very good with backwards compatibility. I'll bet that they'll have a version of Windows supporting things like DirectX with an identical API to Windows on a PC. Perhaps just install a plug-in cross compiler for Visual Studio .Net 2005. Maybe comparing WinCE to Windows might be a starting place to see how well they can do???? What I care about most is whether my existing XBox games will run... Sony proved how beneficial that is with the PS2.
    • Now that they have a bunch of game developers following them, they no longer need the easy porting feature. They prove (to some extends) that they can build a competitive gaming console, now they can change the architecture without second taughts.

      Like it was previously mentionned, they will probably use the VirtualPC software to provide game compatibility with the current XBox. I bet that the new API will be backward compatibile with the current one. They will certainly not do a complete rewrite of it. So
    • Ah, but the guy who designed the original XBox also created one of the worst games ever, Trespasser. So what can you expect. (even if he isn't on the team anymore)

      I logged onto slashdot to point out the exact same thing, but realized they can continue to use many off the shelf parts such as hard drives, usb, and different subcomponents.

      I'm just curious how they intend to keep the price point the same, how they plan to treat past owners of the XBox, and what, if any, is the upgrade path.

    • And they are effectively removing the aspect of XBox that made it cost effective and appealing to developers: easy porting to the PC through common components and CPU architecture.

      That might have been the case ten years ago, when most game development still took place in ASM and at so low a level that it fell out of the bottom of the console and burnt a hole in your carpet.

      Now, however, that is nonsense. Portability these days is defined by the operating system and API, not the underlying hardware. If
    • doubtfully (Score:3, Interesting)

      by *weasel ( 174362 )
      Their compiler and tools group is extremely strong. I'd be surprised if it was at all any more difficult to port to Xbox Next than Xbox.

      I'm sure 95% of it will still be a solid C compiler and directx api.

      hell, it'd probably have a setting for Endian notation in the dev env too.

      the main loss is that with general components they can send devkits to developers early and when the ps3 specs get announced, MS could simply bump up the included cpu and gpu on the release units - guaranteeing that it'd keep ahead
  • The short story (Score:5, Insightful)

    by heironymouscoward ( 683461 ) <heironymouscoward@yah3.14oo.com minus pi> on Monday November 10, 2003 @03:18PM (#7435985) Journal
    1. Microsoft will find a partner willing to invest in designing a new generation of hardware.

    2. The product will start to become a reality.

    3. Microsoft will pull out of the deal, citing "differences" and go into the hardware business itself, suddenly having aquired lots of new technology and staff.

    4. Lawyers everywhere will rejoice once again.

    Ah, but the lure of big money will find a sucker every time. Microsoft is like a huge fat 419 scam artist. "Have $500bn sitting in games market, need someone to facilitate extraction, will give 10%".
    • What's unbelievable is that they might burn the same company twice. I know IBM is a huge company, but don't any of their PowerPC managers ever chat with their ex-OS/2 managers?
      • IBM of the RIng (Score:2, Interesting)

        by bstadil ( 7110 )
        This is not a problem for IBM, the reason being that there is no other manufacturing player in town.

        Once the process is decided that it it. You can't just switch to someone else.

        This means that for once in their life MS is at the mercy of someone else.

        Screw IBM and you just free up resources for Nintendo and Sony (Assume you know that they have chosen IBM as well), and delay your own product by 1-2 years, meaning the project is pretty much dead.

        IBM is the Ring that Rules them All.

        • No other manufacturing players in town?

          Do your semis research, man. There are probably a hundred companies with top engineers that have the capacity and knowledge to design a great graphically-oriented processor. Loads of them. Why would Nintendo and Sony go talk to IBM when they've been doing their own thing for so long, anyway?
        • Re:IBM of the RIng (Score:5, Informative)

          by randyest ( 589159 ) on Monday November 10, 2003 @03:55PM (#7436354) Homepage
          I'm in a hurry, but I'll be back in a few hours if you want to debate this. But before I leave I must say:

          This is not a problem for IBM, the reason being that there is no other manufacturing player in town.

          Huh? NEC, LSI, Mitsubishi, Toshiba, . . . there are plenty of manufacturing players.

          Once the process is decided that it it. You can't just switch to someone else.

          Wrong. We port ASIC designs from competitor's processes all the time.

          This means that for once in their life MS is at the mercy of someone else.

          Not at all.

          Screw IBM and you just free up resources for Nintendo and Sony (Assume you know that they have chosen IBM as well), and delay your own product by 1-2 years, meaning the project is pretty much dead.

          Sony is making their own chips. Nintendo uses NEC.

          IBM is the Ring that Rules them All.

          I'm not really sure of what overall point you were shooting for, but every statement you made is false.
  • by cant_get_a_good_nick ( 172131 ) on Monday November 10, 2003 @03:19PM (#7435988)
    Wasn't the XBox supposed to crush Sony like a grape because it used commodity parts while silly Sony used specialized ones, therefore much more expensive?
    • by steve_l ( 109732 ) on Monday November 10, 2003 @03:29PM (#7436105) Homepage
      yes. but that plan had one small flaw -it was bollocks.

      Sony used custom Si with the same die area as Itanium1, yet could afford to pull it off by selling in the millions.

      MS thought that by reusing PC kit they could get in the business easily (true), and ride the continual fall in PC part cost. Unfortunately, PC parts had had their cost already sucked out of them, apart from the effective 5% a month cost reduction of the Si parts. HDD and the DVD dont have much cost reduction at all, so that HDD is $70 of rotating iron whose cost is fixed. The best bit: Sony also rode the fall in Si parts, didnt have an HDD to provide fixed cost and can cut the selling price of the PS/2 whenever their spreadsheet hints that MS may be about to break even on hardware.

      I think the biggest mistake of MS was thinking they could sell the hardware at a loss and make money on the games. The trick is to sell the hardware at a profit and make even more money on the games. Sony do that. Adding the HDD was another error. All it does is replicate DLL hell and add the Bill Of Materials of the box.
      • Console gamers are more numerous, but PC gamers look down on them because console games usually involve following an in-game movie, seperated by frustrating jumping puzzles. Rarely does anything in-depth come out and when it does, usually they resort to save-spots and other crap in order to reduce the size of save-games so they can fit them on flash-ram.

        PCs on the other hand have games with tons of content, easily downloadable extras, user mods, complex games where you can save *all* the state, not just wh
    • by cgenman ( 325138 ) on Monday November 10, 2003 @03:34PM (#7436154) Homepage
      Amusingly enough, the opposite proved true. (can't tell if you were being sarcastic)

      Sony's specialized parts ensured that Sony owned all of the rights. Sony's intimate knowledge of the parts and the manufacturing has allowed them to combine silicon, cutting down on overall size and costs. Likewise, the only profittaking is from Sony, and with fewer hands in the pot the margins can be shrunk. Unfortunately for Microsoft, using off-the-shelf parts from different manufacturers ensured that they needed the cooperation (and credits) from different companies. Nvidia, for example, gets a cut on the sales of the hardware, not from the software like ATI gets from Nintendo. Microsoft similarly needs to use faster hardware in their machines as they aren't exactly console-optimized. The 'Cube, again, can get away with running on much slower (read, cheaper) hardware, because it would be a terrible webserver. Say what you will about the XBox OS, it's hardware and interfaces were not originally developed with gaming in mind.

      On the other hand, the success of the PS2 can probably be traced to GT3, GTA, Square, Metal Gear Solid 2, Onimusha, and a host of must-have games that were released before the Xbox hit its stride. People buy games and hardware to play those games, not hardware and games to play on that hardware.

    • using off the shelf pc components is cheap..

      if you only plan to produce a limited run of the machines(cheap r&d, expensive if you use zillions of them, compared to spending a bit more on r&d up front and then being able to produce the chips yourself, without paying some % of extra to some another company for every chip).

  • Propritary (Score:2, Interesting)

    by AsnFkr ( 545033 )
    By switching from using relatively standard parts to more customized silicon, the company can better optimize its game console, due in 2005.

    Or cut back on piracy. Perhaps we will have to activate games online in the future!
  • ...and as an added benefit, they can better prevent 'misapproriate use' by being the only ones who know how the 'modified' silicon works.
    • they can better prevent 'misapproriate use' by being the only ones who know how the 'modified' silicon works.

      Except for the company actually developing the chips, which happens to have hardware development contracts with two other game console companies, which will remain nameless.

      If they're so concerned about IBM's ability to keep IP under wraps, why trust them with this one?
  • I think Steve Jobs said at MacWorld Expo 2001 that Apple was the only company that ... "makes the whole widget" therefore they can better optimize the software they create for the hardware they create because they know what the strengths and weaknesses are - the PC industry (I imagine the gaming industry is the same) is harder to control because you can't necessarily control the component structure.
  • Come on! (Score:4, Insightful)

    by Bendebecker ( 633126 ) on Monday November 10, 2003 @03:21PM (#7436018) Journal
    I just shelled out 200 for a playstation 2 late last year. I can't afford to go buying another game console every 2-3 years. I know technology is racing ahead so fast the a console is already obslete by the time it hits the market but would it really hurt if a company stuck to an obslete console for 5-7 years. I mean, whose going to remember a console in ten years if it was only out 3 years before ti was discontinued? Stick with one console, build up a decent library for it, and actually work on a few good games for that console rather than the eyecandy we get now. I can't keep buying consoles like this. I don't many can. And why shoudl I* buy the comapnies latest console, when if I just continue to save my money, I'll be able to afford the next model 3 years later.

    Cost of console = n + $100 where n equals the prices of the console this one renders obselete.
    • I just shelled out 200 for a playstation 2 late last year. I can't afford to go buying another game console every 2-3 years.

      Who sez you have to? There's a bajillion games for PS2 in just about every niche you can imagine. How many have you played? The size of the library goes well beyond the definition of "decent," I think.

      I love my XBox, but I'm pretty sure I won't be buying the next gen model the day it comes out, as by then I'll prolly be about 50 games behind (I'm fascinated by these people who "
    • Re:Come on! (Score:5, Insightful)

      by oGMo ( 379 ) on Monday November 10, 2003 @03:42PM (#7436230)
      I just shelled out 200 for a playstation 2 late last year. I can't afford to go buying another game console every 2-3 years. I know technology is racing ahead so fast the a console is already obslete by the time it hits the market but would it really hurt if a company stuck to an obslete console for 5-7 years.

      Sorry, but if you're just buying a PS2, then you're a latecomer. That was the end of 2002, and these were out in 2000. The PS3 isn't scheduled to be out til 2005 or 2006. These things do stick around for 5-7 years.

      I mean, whose going to remember a console in ten years if it was only out 3 years before ti was discontinued? Stick with one console, build up a decent library for it, and actually work on a few good games for that console rather than the eyecandy we get now.

      The SNES was dominant for well over a decade. You can buy them for a reasonable price and find games used for cheap in shops. PS1 games are still just as available and just as good as they always were. PS2 games will be around for an equivalent amount of time. (They were still making PS1 games even for the US market up until very recently.)

      I can't keep buying consoles like this. I don't many can. And why shoudl I* buy the comapnies latest console, when if I just continue to save my money, I'll be able to afford the next model 3 years later.

      Oh, stop whining. If you're just getting a PS2 end of 2002/beginning of 2003, you're sure as heck not someone who buys all the new stuff when it comes out. You probably won't have a PS3 until it's on its third generation, so that's a good 6 years right there.

      Cost of console = n + $100 where n equals the prices of the console this one renders obselete.

      This is an obvious troll. Anyone who really plays games doesn't toss their old consoles just because a new one comes out. I have a NES, N64, PS1, PS2, Cube, and GBA. I can still play games on any of them. There are many, many games I don't have for all of them. Obsolescence is something for PC's, not consoles.

      (Unless of course you buy a DOA console that doesn't go anywhere. And that's just buyer cluelessness.)

    • You buy a new PC how often, again? How much does a graphics card cost for your PC, assuming you want to be able to run the latest system at any given point? C'mon, pony up the cash, we're consumers, that's what we do...

      would it really hurt if a company stuck to an obsolete console for 5-7 years?

      Wouldn't hurt the company directly to lose those console sales, anyway. The truth is, consoles themselves are mostly a break-even proposition, or even a loss leader.

      The real money's in the games, so if you can

    • Re:Come on! (Score:2, Insightful)

      by hobbespatch ( 699189 )
      (Quote)Cost of console = n + $100 where n equals the prices of the console this one renders obselete.(/Quote)

      Heh why way PS1 $300 dollars when it came out?

      I wouldn't be shocked to see MS's Next-Box prices running higher because it will may have more power than the PS3's 4 GHz Cells ... Intel NetBurst micro-architecture (Pentium 4 or revised name) on 0.07-micron process Clock Speed: 7 GHz to 8 GHz

      But it comes down to games IMHO, Sony can put out an amazing array of titles compared to X-Box. Even with X
      • Re:Come on! (Score:2, Informative)

        by hobbespatch ( 699189 )
        Xbox 2 specs from another discussion thread - dated 5/18/03
        Intel NetBurst micro-architecture (Pentium 4 or revised name) on 0.07-micron process
        Clock Speed: 7 GHz to 8 GHz
        SSE2 Floating-Point Performance: 28 to 32 GFLOPS (or 64 GFLOPS with architecture improvements)
        External Bus Bandwidth: 5.33 GB/sec

        System Memory: 1024MB (1GB)
        System Memory Bandwidth: 32 GB/sec (or up to 64 GB/sec)

        NVIDIA XGPU2
        Clock Speed: 1 GHz
        128 Gigatexels per Second
        512 Billion Anti-Aliased Samples per Second
        Full-Scene Anti-Alias
    • I don't even play many games, but come on. If you are really interested in playing video games how much does a new console every 3 years really hurt you?

      Seven years is way, way too long to stick with one console. Didn't the PSX come out about 7 years ago? Seriously, it was a great system, but any company sticking with it would be suicide. It can't hold a candle to what is out now. If you're serious about gaming pick a favorite console and go with it. Seriously, $200 every three years is less than $10
    • I just shelled out 200 for a playstation 2 late last year. I can't afford to go buying another game console every 2-3 years.

      So? You are not their target market.

    • Why don't you just put away $10 a month.. into a jar or under your matress or something.. After 2 years you have $240.. voila! New console.

      Quite frankly having to spend $200 every two years is nothing for most people. Unless you are a kid without income in which case ($200 + games = equals annoyed parent).
  • by Quasar1999 ( 520073 ) on Monday November 10, 2003 @03:22PM (#7436029) Journal
    Didn't MS agree to stay the hell out of the chip making business in order to be lovey-dovey with Intel and their specs?

    How's Intel taking the news?
    • How's Intel taking the news?

      Considering Intel's stock [yahoo.com] was doing a slow decline today, I'd say not well. Something tells me Intel will retaliate, and that Palladium initiative may find itself having "problems" very soon. ;-)

  • This time I really think they've picked a great name.

    It's just what I'll say when I think of it.

    "XBox? Next!"

    (Sorry, but you have to admit they really had that one coming ;-))

  • by pubjames ( 468013 ) on Monday November 10, 2003 @03:24PM (#7436040)

    I knew this was coming.

    Microsoft made some serious design mistakes with the first X-Box. One of the big ones was they assumed that if they used generic standard PC parts that would make it somehow cheaper. However, the economic logic of the PC industry doesn't necessarily apply to the gaming console industry, where you want to make tens of millions of consoles all exactly the same. When you are doing that, it actually is worth the effort making fairly customized hardware, because every cent you can shave of the production costs of a unit makes a big difference.
    • Your points are all correct however you have to also remember that it costs alot (in time & money) to develop libraries and a developement platform. For Microsoft it made sense to use as much as they had over from the PC, they were banking on being #1. Porting and developing for a new processor/archicture would have probably meant they would delivery way too late.
    • Not to mention the fact that Microsoft's competitors were able to lower their costs considerably by integrating their silicon as they went along. Microsoft was stuck with chips from rival competitors that were already at their lowest possible price point on day one. The cost to produce a PS/2 has dropped dramatically. The cost to produce an XBox is almost the same now as it was when it was introduced.

    • by Morgaine ( 4316 ) on Monday November 10, 2003 @04:10PM (#7436526)
      every cent you can shave of the production costs of a unit makes a big difference

      Your reasoning is spot on for any console manufacturer, but it's especially important for Microsoft because of the dreadful arithmetic of long-duration per-box losses resulting from slow growth of Xbox against the PS2.

      The problem there is that Microsoft doesn't write a whole lot of games itself, so they're at the mercy of the usual game dev companies' choice of platform and rate of production. That rate has been slow, and every month that the ramp-up drags on with the PS2 light-years ahead in terms of game numbers represents another chunk of losses stemming from the high cost of the console versus number of games sold.

      Exactly why Xbox hasn't exploded onto the scene and become a head-for-head PS2 rival after all this time is a good question which I haven't seen explained anywhere. It's nice hardware from a dev perspective, so why so few games? (Even the Xbox mags are disappearing from shops. Looks bad.)

      With the present sluggish rate of new releases and with way under 200 Xbox games in most of the "Coming Soon" lists despite Xmas approaching, I don't see any light at the end of the Xbox tunnel for a long time to come. Under these inauspicious circumstances, I'd have to guess (and we can only guess) that bringing down the pre-console loss must be extraordinarily important to MS.
  • keep hotmail secure. i doubt they'll get putting a zillion transistors on my thumb right ;) ....
  • by syntap ( 242090 ) on Monday November 10, 2003 @03:26PM (#7436062)
    With a changein graphic processors, I wonder if Microsoft plans to not include backward-compatibility with the original (current) XBox.

    One of PS2's main strengths was that consumers didn't have to throw away their PSOne game libraries or keep two consoles hooked up. Sega didn't do this with their hardware and suffered as a result. Nintendo did not do this with its consoles but _did_ with the GameBoy line, and look at which one is more successful.

    If Microsoft wants to build a sustainable marketshare for XBox, it must keep consumer units "in the family" as Sony did with Playstation and Nintendo did with GameBoy.
    • in a wired article [wired.com] they suggest they will use their recently aquired Connectix product "Virtual PC" to provide backwards compatibilty.
      I'm not quite sure if this is possible... Does Virtual PC emulate a processor? Or is it like VMware, and emulate a BIOS...
    • the GB line was successful because it was the only option. period. the game gear was way too expensive, heavy, and sucked batteries like a drunken prom date. GBC and GBA werent introduced until way after the demise of the GG, so it wasnt backwards compatability that sold all those GBAs and GBCs.

      It was 12 year olds that wanted to play pokemon.
  • by AvantLegion ( 595806 ) on Monday November 10, 2003 @03:26PM (#7436063) Journal
    ... but seriously, the new Xbox looking like a NeXT Cube would be cool. :)

    NeXT-Box sounds better than "Xbox Next" anyway.

    Although I am partial to "XX-Box", and eventually, "XXX-Box".

  • Given the seeming inability of MS to produce high quality engineered products from the first version, they should avoid hard-wired silicon.
  • by pubjames ( 468013 ) on Monday November 10, 2003 @03:27PM (#7436071)

    Is the XBox actually going anywhere? Here in Spain I must see ten PS2 advertisements on the TV for every one for the XBox. And in most stores the PS2 seems to have about three to five times more shelf space allocated to it than the XBox. Not only that, but with the GameCube priced at 99 Euros, the XBox has some serious competition this Christmas. Can the XBox ever become serious competition to the Playstation under those conditions?

    What's it like in the rest of the world?
    • The XBox does better in N. America. I read something in July that indicated 3 times as many were sold in N. America vs. Europe. In N. America it is 2 horse race between Sony and Microsoft, with Sony along way ahead at the moment. PS2 sales apparently have fallen dramatically whereas the XBox sales are probably growing still. As an XBox owner of 18 mos, I would say we're only just beginning to see enough games and enough range of games to even consider the platform viable.
  • by Trolling4Dollars ( 627073 ) on Monday November 10, 2003 @03:27PM (#7436076) Journal
    If they want to BE like Apple Computers, they should just throw caution to the wind and do it. I imagine this doesn't bode well for Intel or AMD...

    To be honest, I'll bet they are really vying to make their own chips for home users and set top boxes and keep Intel and AMD on the backend.
  • Great quote: (Score:5, Interesting)

    by 3Suns ( 250606 ) on Monday November 10, 2003 @03:28PM (#7436090) Homepage
    The company has also been wrestling with Xbox hackers, who've been able to turn the $179 console into a fully functioning computer.

    This really highlights the stupidity of MS's anti-hacking efforts. I don't ever remember a company spending so much effort and money on an attempt to remove functionality and desirability from their products.
  • by drgroove ( 631550 ) on Monday November 10, 2003 @03:29PM (#7436096)
    but the chip as well:
    http://www.wired.com/news/games/0,2101,6106 5,00.ht ml?tw=wn_culthead_4

    So, the new XBox will be called Next, and will be running a G5 chip.

    Only thing left to happen now is for Apple to come out with a video game console running on an Intel P4 called "Apple ME", and we'll know for a fact that the whole world has gone to hell.
  • The Next Xbox won't be done until Linux won't run. :)

    Jonathan
  • I think NextBox rolls off the tongue quite a bit better...
  • i remember apple having a hard time when they were using LOTS of custom parts on their motherboards.

    there were numerous suppliers who weren't keeping up with demand, thus shipping was held up.

    maybe microsoft has a better plan in mind but relying on many external suppliers can be hazardous!
  • Finding engineers (Score:2, Interesting)

    by raider_red ( 156642 )
    Where do they think they'll find chip-design engineers who will work on Windows? I wouldn't do that type of work on that platform, and all the others I know will only use a Unix based system for their engineering work. Does this mean that MS will be installing a new Linux network to develop their new ASICs?

    I'm sure it's possible, but designing ICs requires some serious software and hardware tools, and an OS that won't get in the engineers way.
  • Although Microsoft did not produce key components of the PC, yet it had a very active participation in designing the standards ruling the PC world. From 1184 paralell port to ISA Plug&Play, from ACPI to DirectX 9.0 it was Microsoft who decided how the hardware should interface to the OS and in cases like DirectX 9.0 it acutally dictated lots of the arcithecture of the hardware. So it's not a surprise that it get goes one step forward for a product that is going to carry it's own name on the box...
  • by 0WaitState ( 231806 ) on Monday November 10, 2003 @03:51PM (#7436317)
    Microsoft involved in chip design? Um, so how do apply service packs to silicon?
  • I thought they used up all the special silicone when they published Dead or Alive: Beach Volleyball...
  • Xbox/2 (Score:2, Insightful)

    by Curt ( 37359 )
    Wasn't one of the "strengths" Microsoft was touting with the original Xbox was that because it uses standard PC parts it would be easier to develop and port games?

    Now it looks as if the parts are going to be as "standard" as WMA.

    So, what will be the advantage the Xbox has now? I doubt there will be that much of a technology gap between any of the next-gen systems. It puts it much closer to the other consoles, and among those, sheer numbers usually wins out - these days, namely, Sony. Only if the custom pa
  • by popo ( 107611 ) on Monday November 10, 2003 @04:07PM (#7436489) Homepage
    Ask any developer in the country: working with Microsoft means jumping through a ridiculous number of hoops, and complying with really awful regulations (like all that X-Box Live crap).

    Why do developers do this?

    Because development for the X-Box is otherwise relatively easy. The X-Box being a modified PC, means that porting PC titles to the X-Box is cake.

    The modified PC architecture also allows Microsoft to raid E3 for hot-titles, and buy out (or sign advance release deals) on hot titles. ("Halo" for example was originally supposed to be a PC release).

    But what happens when Microsoft begins to move away from standard components?

    The first and most obvious advantage to Microsoft is cost. Owning the chip manufacturing reduces the overall cost of production, not only by cutting out the 3rd party, but through efficiencies of custom architecture. This will translate into a more competitive console price. Most people don't know it, but Microsoft is in a state of panic right now over console prices. GameCube and PS2 can undercut X-Box comfortably in the late-stage console cycle (2 years after a console's release).

    But (buyer beware) even though the X-Box NEXT will carry a nice price-tag, the number of titles will be SIGNIFICANTLY LOWER.

    Developers *hate* working with the X-Box team at M'soft, and if coding for the X-Box was as difficult as coding for the PS2 developers would choose 1 console and stick with it.

    This is almost guaranteed to happen with the release of X-NEXT. Watch as Sony announces a larger than ever release calendar and Microsoft is forced to go on an acquisition streak in order to bulk up on releases.

    Also watch as GameCube surprises everyone with their next console which will demolish Sony and Microsoft's benchmarks...

  • by ReadbackMonkey ( 92198 ) on Monday November 10, 2003 @04:32PM (#7436713)

    I can just see the Intels, Siemens, TIs and NECs of the world lining up for patent suits on this one. If Microsoft plans to wade into this battle without any existing IP they are going to get smacked very hard with the infringement stick... ... all the "old boys" need to do is wait for the system to come out and then the money to start rolling in.

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