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CES 2008: Bill Gates keynote Article

Xbox 360 PC Article by Patrick Garratt

7 January, 2008

Despite weeks of tireless speculation about the possibility of major gaming announcements from Microsoft at the Las Vegas Consumer Electronics Show (CES) this year, company head Bill Gates and other senior executives focused on other subjects for the Microsoft chairman's swan song performance, including little related to gaming and favouring rhetoric over real substance.

Rumours of a new Xbox 360 SKU to potentially contain HD-DVD playback, a 320GB hard drive and other wish-list features were laid ignominiously to rest by Gates and the president of Microsoft's entertainment and devices division, Robbie Bach, as sentimentality of Gates' closing tenure as corporation boss, a slew of social networking products for Windows, Zune updates and Windows Mobile took precedent over gaming in a presentation that contained little solid detail about existing ranges and few announcements about new ones.

After a video "funny" showing how Gates' last day at the office may look before he retires as Microsoft's front-man this year and focuses solely on his charity concerns - a piece of film including the likes of Hillary Clinton, Al Gore, Barack Obama, Steven Spielberg and Bono (all 100 Courics of him) - Gates told a heaving auditorium that Windows Live now has 420 million users and that Windows Mobile is currently the handheld platform of 20 million people. A demonstration by a very nice lady called Mika of "new" Windows features such as a calendar (that looked nothing like Google's web calendar), an event and social network tool (that bore no resemblance to Facebook) and an online video search system were followed by an announcement that Microsoft will be handling all the internet video coverage of this year's Beijing Olympics. Game-coloured alarm bells had been ringing for a few minutes at this point.

Watch your Bach

'CES 2008: Bill Gates keynote' Screenshot 1

The queue to get into the queue to get in. We're not kidding.

Bach came out after about 40 minutes. We like Robbie. He's great. Tonight, though, he didn't really have the firepower to back up his traditionally bombastic performance. Xbox Live has now passed 10 million users, he said in the big reveal, and reiterated the recent announcement that Xbox 360 has sold more than 17 million consoles worldwide. Not shabby, obviously, but there was none of last year's glory at passing the ten-million-console mark. With 2007's launch of Vista, he said, Windows gaming has continued to "grow and be strong". Non-gaming entertainment - video, specifically - formed the bulk of the conference's new 360 content, with announcements that Disney and ABC are to add TV programmes for download on Live Marketplace, and that MGM is to include movies.

The other major announcements for Xbox 360 concerned "Extender devices" from Samsung and HP, allowing Windows Media Center functionality without an Xbox 360, with HP going the whole hog and actually building Extender functionality into one of its new TVs. On the media convergence tip, Bach also confirmed that BT will be the first global telecom provider to allow subscribers to use Xbox 360 as a set-top box - an echo of last year's BT trials announcement. No other details were offered.

"When you look at all this together, what we've done with Xbox and Xbox Live and what we're doing with Media Center and Mediaroom [the company's IPTV and multimedia platform - Ed], it's abundantly clear that building great connected TV experiences is not a hobby for Microsoft. This is something that we take quite seriously and we think we can build a great business with great products for ourselves."

'CES 2008: Bill Gates keynote' Screenshot 2

The royal wave. It may be the last time you see it.

Aside from that, core gaming discussion was limited to willy-waving in the face of Sony and Nintendo's US sales, with Bach claiming that up to November 2007 Xbox 360 products had accounted for USD 3.5 billion of business.

"That's a billion dollars more than Nintendo did on the Wii and 2 billion dollars more than Sony did on the PS3," said Bach. "And if you look at the spend on Xbox 360 games, it's more than the spend on Wii and PS3 games combined. So our Xbox business is in a very, very good place." There was no comparison of sales in Europe and Japan, or of how much everyone had had to spend to make those billions of dollars.

And that was it. What happened next: Zune is the "clear alternative to iPod", Zune Social looks like MySpace and iTunes combined, Ford Sync will be included in a million cars this year, "911 Assist" is a magic car thing that calls an ambulance for you if your airbag goes off after a crash and you're too mashed up to tell it not to (quite cool, to tell you the truth), Windows Mobile is outselling Blackberry and iPhone OS, TellMe is a voice-activated mobile thingy that lets you locate local services on your phone and book stuff like cinema tickets, and Gates came back on with this funny brick thing for his future-gazing bit, which could recognise faces and buildings and stored random episodes about your life without you telling it to.

'CES 2008: Bill Gates keynote' Screenshot 3

He'll be back. Bill won't.

Just to be clear, until the last few minutes, the only actual game footage on the stage had been some clips of Madden '08, Halo 3 and Guitar Hero III during the Bach gaming section. Game titles simply hadn't been mentioned apart from this. As a finale, Bach and Gates played some Guitar Hero III with some girl who was clearly very good at it, then Slash (the actual Slash) came out and played the solo from Welcome To The Jungle [and not Sweet Child o' Mine as we originally said - we promise never to let Pat write anything ever again - Ed]. Then Bach said something along the lines of, "That's it. I'll be back next year. He won't." And off they all went.

Shut the Gates on your way out

This was Bill Gate's last CES keynote, his eleventh and his ninth in a row, and there was something just a little sad about the movie poking fun at his departure from Microsoft proper. Lack of gaming content aside, there really wasn't that much solid detail about any of the new products shown during the presentation, and that alone left a distinct "meh" on the lips of the exiting crowd. Not having many games to show from a company involved in the console hardware race happens from time to time, as you'll know if you follow the global gaming event roadshow, but to have no games to show at all? CES is a show dominated by Microsoft, the great American tech company, so no mention of titles for end-of-year 2008 here is surprising, if not confusing.

'CES 2008: Bill Gates keynote' Screenshot 4

The real, actual Slash. He's British, don't you know.

At CES 2007, Microsoft showed AOE III The WarChiefs, Supreme Commander, Shadowrun, Alan Wake, Spinworld, Luxor 2, BioShock, Flight Simulator X, Bliss Island, a new Train Simulator, The Lord of the Rings Online: Shadows of Angmar, World in Conflict, Hellgate: London, Company of Heroes, a PC version of Geometry Wars, Lego Star Wars 2, Halo 2, Age of Conan - Hyborian Adventures and Crysis during its keynote. At CES 2008, Microsoft didn't show a single new game.

There's no denying Bach's figures are impressive. Xbox Live usage has doubled in the past year, and console sales have risen a similar amount: it's laudable. PC gaming growth figures, however, were conspicuous by their absence.

But last year they felt like fighters, with executives like Peter Moore - since departed for EA - and Chris Satchell lambasting Sony for an insipid launch and mistakes made with online PlayStation 3 services on the showfloor after the keynote. Tonight's performance felt off the boil, and with no confirmation yet of a GDC showing from Microsoft next month - Sony ruled the roost in San Francisco last year with LittleBigPlanet and the first Home demo - are we really going to have to wait until E3 (assuming there is an E3) to find out what Xbox 360 owners are going to be playing this Christmas? Maybe Gears of War 2 and Banjo at the Moscone Center in February?

We sincerely hope so. It's what Bill would have wanted. God rest his soul.

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Comments: 1-50 of 91 in total | next 50 »

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RAAMRUUTER
07/01/08 @ 08:30
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hahahha first!!!!! go NZ......
so what was the article about??
Wyrm
07/01/08 @ 08:34
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Slash! :D
bioreit
07/01/08 @ 08:36
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Good. No built-in HD-DVD drive with 320GB hard disk means I can buy my second 360 now, rather than wait for the '360 Ultimate'.

Was waiting to see if the rumours were true or not before getting a new one for the HDMI port, as well as the HD-DVD add-on. Now I know, just have to wait for payday :-)

Bye Bill - you were an awkward, whiny kind of geek; you certainly made an impact (like the asteroid that wiped out the dinosaurs), but you give as much to charity as several small nations, so that makes up for a lot.

/holds hand out for alms to the poor. Well, it's worth a try...
RAAMRUUTER
07/01/08 @ 08:36
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ok just read the last page.. and hell yeah Slash!!!
gamerbunny
07/01/08 @ 08:45
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Slash.

That is all.






(Seriously, thats all. What else was there? Bill's last day?)
LeD
07/01/08 @ 08:46
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No games on show because there aren't any new ones to be shown. Simple as. With the Blu-Ray imminent victory, PS3 sales boost over Christmas, and the gaming industry shifting its focus onto Sony's platform, it seems over for the 360. I really enjoyed it while it lasted.
Whitey McCool
07/01/08 @ 08:52
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he doesnt hold the record, he IS the record
bioreit
07/01/08 @ 08:54
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@ LeD

I seem to recall you saying that it was over for the 360 and Microsoft all throughout 2007. But apparently reports of their demise had been greatly exaggerated and have presently been postponed to the next financial year.
crozon
07/01/08 @ 08:57
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10Million user is that it???? now its not bad, but i thought xbox live would be bigger since they go on about how small the PC market is.

World of warcraft has 9million active subscribers and steam has 12million users.

LeD
07/01/08 @ 08:58
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@bioreit

Don't get me wrong, I don't want them to go away, I'm a happy 360 owner. But I find this lack of excitement for 2008, no major games lined up or announced, highly worrying.
In 2006 and 2007, MS really drove their 360 venture, and as you can see financials results are impressive as a result. But where is the drive for 2008? 2007 was all about the games, and we 360 owners need more of those. And please don't list Fable 2, Halo Wars and Too Human.
seasidebaz
07/01/08 @ 09:08
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erm.... hang on a min, apparently (according to eg) slash played sweet child o' mine.

joytiq reckons he played welcome to the jungle.

who is correct here?
bioreit
07/01/08 @ 09:10
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@ LeD

Fair enough.

Can I mention Alan Wake? Also, I kinda need to pee - may I be excused?
Max_Powers
07/01/08 @ 09:13
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@LeD

Why not list Fable 2? Or GTA IV, which is probably going to be the biggest gaming event in 2008. These are significant releases.

And I think 10 million Xbox Live users is very impressive, and their US presence is very strong.

Biggest MS challenge the coming year is to release quiter and non-broken 360's and get a better foothold in Europe.

Dizzy
07/01/08 @ 09:15
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MS doesn't show new games because atm Sony is no threat in the US. It is easy cruising atm for the 360. This is CES... normally not a very game oriented show. Last year they showed a lot because the battle was hot and they expected some real competition.
themorganator
07/01/08 @ 09:16
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@LeD,

I can't say I agree with you mate, to say its over for 360 because of one weak conference it's a little short sighted IMO. It's entirely possible that the marketing geeks decided this show would be more about Bill because its his last year? Yes, PS3 may have made better sales this year and yes, Blu Ray seems to winning the format war. Does this bother me? Nope. I've still got a superior Live service (although it is still broken at the mo) and I've got cross platform games! Furthermore, we can likely expect a Blu Ray drive to be added as a peripheral if they do go on to win the war. This means we didn't have to fork out at launch in the same manner as our PS3 owning chums.
bad09
07/01/08 @ 09:43
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@ themorganator

Blu-Ray is winning the war if you mean the BDA can afford to throw desperation money at Fox and Warner. Both had decided to go HD DVD only (like Paramount/Dreamworks). Warner would not go without someone else on board and Fox were just about to switch (apparently). Fox took a bribe to stay so Warner stayed and took $500 million to go exclusive. Stand alone player consumers are choosing HD DVD but these studios are not following sales like they say they are following bribes at the moment.
They are all being dragged into Xbox vs Playstation which hurts real movie fans, the real casualty of this stupid war.

Good luck to Bill though, you can't knock someone who gives half his money to charity and is gonna do more charity work now he has stepped down!
ruttyboy
07/01/08 @ 09:49
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Looking at this picture, I'd say the real reason he's stepping down is that he's pregnant.
squarejawhero
07/01/08 @ 09:54
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Where the fuck are people getting these figures from? Or are they rumours?

Anyway, calling the demise of a console off the back of a final keynote from an industry figure featuring the console in its entirity, where he plays GH3 with Slash on said console to market it, seems a bit dim. Sorry.
Edited 1 times, most recently on 07/01/08 @ 09:55
nickthegun
07/01/08 @ 09:54
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Also showcasing the latest line in MS branded pastel Jumpers.

"We believe that by 2010 we will have passed benetton and have 5 million users of our slightly insipid pullovers, with 28 different, slightly garish, SKUs"
lambtron
07/01/08 @ 10:00
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"and farewell to bill, you ruined most of my hobbies during your tenure, you wanker."

Eh?
lambtron
07/01/08 @ 10:03
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Its doing alright in Europe (and well in the UK) I would say, nothing more, nothing less.

Its Japan that's the kicker for MS - they just ain't interested, apart from a very, very minor hardcore.
Genji
07/01/08 @ 10:04
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"That's a billion dollars more than Nintendo did on the Wii and 2 billion dollars more than Sony did on the PS3," said Bach. "And if you look at the spend on Xbox 360 games, it's more than the spend on Wii and PS3 games combined. So our Xbox business is in a very, very good place."

Could someone with some knowledge in economics explain to me how spending more than the two competitors combined puts them in a better position? I'm not really clear on what he means here.
Carlo
07/01/08 @ 10:07
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The best news they could come up with was MS sold more than Sony and Nintendo (That's sold, not profit obviously), in the US only of course.

And Live has 10m users? How many on gold?

bad09
07/01/08 @ 10:12
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@ lambtron

In the UK yes it's very strong, but the rest of Europe is more PS3 friendly apparently. MS wanted Japan badly, they are not interested now because it been a disaster yet again for them. For some reason they don't like xbox in Japan. Mind you, I remember reading that western games are not really liked in the east so it would make sense.

@ frod
Not out of my ass but out of leaked reports from Warner, although I don't work at Warner so I can't be 100% sure it's true!
Edited 1 times, most recently on 07/01/08 @ 10:26
Rodney
07/01/08 @ 10:18
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Genji

I think he meant consumer spend
miiiguel
07/01/08 @ 10:19
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LeD: must I sell my 3 360's ? you know better, plz tell me! plz! Is Live going to shut, and we're all going to play mighty PSN, now that PS3 has 2 games that sold 1 million copies ?
Microsoft is doomed...~

And Live has 10m users? How many on gold?
7 million. Microsoft is bankrupting nevertheless..., shutdown your Windows. Now!
Edited 1 times, most recently on 07/01/08 @ 10:20
adamamosa
07/01/08 @ 10:19
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On the games front, maybe they are just trying to avoid the mistake they made last year. They showed ALL their games really early on and had little new to shout about throughout the rest of the year. They had to try very hard to maintain interest at the later shows.
Charroux
07/01/08 @ 10:20
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Crikey, that was underwhelming. You'd think they'd try a bit harder, considering 2008 is likely to be the hardest year for MS's games division since the 360 came out.
JediMasterMalik
07/01/08 @ 10:20
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@miiiguel - Why the fuck do you have 3 360s?
Edited 1 times, most recently on 07/01/08 @ 10:20
miiiguel
07/01/08 @ 10:21
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Too much money, too litle time (too spend it wisely, of course).

I predict, Microsoft to disapear completly of entertaiment market, and OS (Vista is da shit), and do only keyboards (sinf Blu Ray is wining some war... or something). Sony is going to win the most gold medals in the Beijing Olympics, and we'll live happily ever after.
Edited 1 times, most recently on 07/01/08 @ 10:26
Trane
07/01/08 @ 10:27
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'@miiiguel - Why the fuck do you have 3 360s?'

Maybe he has a 1080p television and got confused.
/maths
miiiguel
07/01/08 @ 10:28
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Trane, oh man, stop please, you're killing me, you're so funny!
bad09
07/01/08 @ 10:28
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@ miiiguel

Isn't Mario,Sonic and Nintendo gonna win everything at the Olympics?
Trane
07/01/08 @ 10:32
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Miiiguel, you do realise that by saying something is 'da shit' is basically touting is as being great....




..don't you?
Edited 1 times, most recently on 07/01/08 @ 10:33
miiiguel
07/01/08 @ 10:33
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I was joking, but here we are saying MS is not "doing games" nor "HD something", but from the article they didn't talk about anything. I must show this to my boss because it's reaching that time of year when we must sign for another Select contract again. But if this article is true, they aren't giving a shit to anything, not just games. And mind you this is not a games convention. Take a quick "google" on what said in last years GDC of Sony (oh! oh! they don't have games to show!).


Or maybe they just wanted to say goodbye, on a very light tone to the boss ?

Trane: didn't know that, I took a mental note. Thanks.
Edited 3 times, most recently on 07/01/08 @ 10:36
Bumhug360
07/01/08 @ 10:38
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"No games on show because there aren't any new ones to be shown. Simple as. With the Blu-Ray imminent victory, PS3 sales boost over Christmas, and the gaming industry shifting its focus onto Sony's platform, it seems over for the 360. I really enjoyed it while it lasted. "

Sony held a press conference as well last night, they didnt even mention the PS3 and only mentioned the PSP once. The W760 Walkman mobile phone was the only gaming thing they talked about. Does that mean its over for the PS3 as well or just highlight the fact that CES main focus isnt games?
miiiguel
07/01/08 @ 10:40
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PS3 is doomed too.

Let's wait for Nintendo..., Nintendo is coming to the "doom party" isn't it?
ruttyboy
07/01/08 @ 10:42
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You didn't know what "da shit" means? Did you skip your Ghetto classes again? ;-)
miiiguel
07/01/08 @ 10:44
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"You didn't know what "da shit" means? Did you skip your Ghetto classes again? ;) "

Portugal is a 3rd world country, we still don't have "Ghettos".
Kryon
07/01/08 @ 10:44
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Yes, the 360 is dead. Funny but world wide it's still completely raping the PS3, it still has the best games too...How odd?!
ruttyboy
07/01/08 @ 10:52
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Neither do we, but it's cool to pretend you're from one. Apparently.

Oh, also playing music from your phone on the bus is in too. It's cool to be a cunt.
bad09
07/01/08 @ 11:00
#42
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@ Ruttyboy

"Oh, also playing music from your phone on the bus is in too. It's cool to be a cunt."

Yeah, they don't need headphones in da ghetto!
penguin_overlord
07/01/08 @ 11:01
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@Kryon - "Yes, the 360 is dead. Funny but world wide it's still completely raping the PS3, it still has the best games too...How odd?! "

Actually, weekly worldwide sales for the PS3 have been higher than the 360's for many weeks now and that is unlikely to falter now that the PS3 is at a sensible price and has some good games for it. Plus, the Devil May Cry pack in Japan will sell shedloads.

The PS3 will likely also see a big increase in sales as a result of the recent Blu-Ray announcements as it is actually a superb player.
jlaakso
07/01/08 @ 11:09
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I do imagine that they put so much effort into last year that they're just caught a little unprepared now and have decided to put the game division's energy towards other venues. It's not like the CES is a major game event anyway.
Moz
07/01/08 @ 11:11
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@kryon"Yes, the 360 is dead. Funny but world wide it's still completely raping the PS3, it still has the best games too...How odd?!"

Ermm where you figure that? IF publicly availble figure are correct then the PS3 has been out selling the 360 world wide throughout Decemeber.

The 360 is far from being dead but the predictions of a more even race between MS and Sony look to be coming true. Though in each teritory it will look like one is poneing the other but globably they are pretty much even sales wise.

But 2008 is going to be very telling it could swing in favour of either company by the end of the year.
miiiguel
07/01/08 @ 11:14
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rutty, don't really understood what you meant..., sounded agressive though. I didn't say any lie, Portugal isn't has developed as England; France; Germany..., and therefor is not as apelative. Anyway if I was younger I'd moved to London, I've spent 3 months there and I loved it.

Picking fights is not my thing, and I really dislike the word "cunt", is ulgy and asexual.

edit: I have a Zune..., and a car.
Edited 2 times, most recently on 07/01/08 @ 11:18
ruttyboy
07/01/08 @ 11:21
#47
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@ miiguel - I wasn't having a go at you matey! Hope you haven't misunderstood. I was just poking a bit of fun at the chavs and people who say things like "da shit" in a non-ironic fashion :D
miiiguel
07/01/08 @ 11:23
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I gotta stop coming here, I do get confused. Damn lost in translation. I'm having a cup of cofee.
I'm sorry.
Later.
d'laCre
07/01/08 @ 11:30
#49
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> no confirmation yet of a GDC showing from Microsoft next month

?

http://www.gdconf.com/expo/floorplan/
http://kotaku.com/339991/gdc08s-floorpla...
space ace
07/01/08 @ 11:33
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apparently it's "welcome to the jungle", from 2 other sources?

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