Xbox boss talks future of gaming

PALO ALTO, CA--One of gaming's power players this morning offered some insight into the thinking of Microsoft as it stands on the cusp of the next generation of hardware. At a Churchill Club-sponsored breakfast, chief Xbox officer Robert Bach, dodged specific questions about the Big M's next console, but suggested the future of console gaming may be already be on your desk.

"Our view is the innovation driver is the PC, and will be the PC going forward," Bach said. While he wasn't suggesting the two gaming worlds will merge, Bach indicated that PCs are the proving ground for tomorrow's console technology, at least in Microsoft's view.

As with the original Xbox, most of the components Microsoft is working with have come from PCs, before they are incorporated into gaming consoles and optimized for gaming. But even though Microsoft first made a splash in the video game market by releasing the most powerful console available at the time, Bach made it clear that Microsoft's vision is that the technology is simply a means to an end. Since the Xbox console itself is actually a money loser for Microsoft, the company is keeping its eyes on where the profits lie: software.

Bach views the next generation of technology as a way to remove barriers for game designers, allowing them to more easily turn their visions into reality.

"The role that technology plays is, for a large part, to get out of the way," Bach said. If Bach's comments are any indication, Microsoft's next console, rumored to be called the Xbox 360, will be all about the games. Bach has no love for the all-in-one entertainment devices that were once supposed to be the future of the industry; he's only interested in adding functions that enhance the gameplay experience. For instance, this morning he touted the Xbox's ability to rip music, which gamers can listen to in-game, but which wasn't meant to replace a traditional sound system. He also pointed out that Sony's PSP portable, while a strong gaming platform, had to make compromises on its other functions, such as a DVD player that will only play specially made discs.

"You have to decide what things are complimentary functions…and what things aren't," Bach said. "I think most products that try to be all things to all people don't do well." Another challenge for the company--and in fact the entire industry--is how to bring more women into gaming. Bach estimates that 75 percent of Xbox players are male and that those numbers could grow more skewed with the release of Xbox 360. Since the hardcore gaming audience--which are likely to be the early adopters of the new console--are largely male, Bach expects a 90-10 split among male and female gamers, respectively, in the 360's early days.

Once again, Bach turned to the PC, acknowledging that casual gaming sites, such as Pogo.com or Yahoo's games section, have done a better job of attracting female gamers. In fact, the majority of gamers who enjoy these sorts of puzzle and strategy games--some 65 percent--are female.

The most significant barrier to casual gamers is the enormous investment of time it takes to be competitive with most console titles.

"If you want to be good, you have to practice," Bach said. "What we need is more experiences that are casual fun."

True to Bach's marketing background, he missed no opportunity to plug the official unveiling of the Xbox on MTV on May 12. The company has taken the unusual step of revealing details of the console in a televised event just before E3.