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Intel, NVidia, ATI... out of the picture?
Recent news stories report that Microsoft may design their own chips for the Xbox 2 design. This means that the manufacturers of the current Xbox console may be out of the picture. For the Xbox 1, NVidia had won the bid to supply the graphics chips for the Xbox, and Intel won the bidding war against the CPU manufacturer AMD.
NVidia and MS... the end of a beautiful relationship
Nvidia's share price rose after they reported doing quite well even though worldwide Microsoft Xbox sales were below expection. Insiders report that Microsoft didn't like Nvidia's refusal to lower the cost of their chip set, and apparently Microsoft is getting ready for legal action against Nvidia, based on a breach of agreement between the two companies.
XBox 2 is a DIY for Microsoft
The main reason for this move is of course the cost for Microsoft for the use of these components in the Xbox, which are largely responsible for the high price of the console, making it extra-hard for MS to offer the console at a reduced price. The surprising news is that Microsoft aims not only to develop and produce their own graphics chips, but also the main CPU, by which Microsoft plans to shake off its dependency on X86 suppliers.
Sources say that Microsoft has posted a request for quotation for a DirectX9/10 microcode engine, the part of the chip that decodes and processes DirectX instructions.
Rather receive than pay license fees
Microsoft's move into chip development and production was foreshadowed by their recent acquisition of Silicon Graphics patents. This means that they can implement many features into their chips that otherwise would require licensing, AND it means that other chip manufacturers like ATI and NVidia will have to start paying Microsoft license fees.
MSIL all the way
The CPU for the Xbox 2 is rumoured to be designed to be a processor that can decode and execute instructions in Microsoft Intermediate Language (MSIL) while at the same time being able to run x86 code, to remain compatible with Xbox 1.
Xbox 2, the real "home station?"
The Xbox 1 has underperformed in terms of projected sales. Forced to follow the price reductions of the Sony's and Nintendo's video game consoles, the Xbox price drop to $199 means that Microsoft is making at least $100 loss on each console sold. The plan is to subsidise this with increased software sales, but this calculation may only provide positive resuls in years to come, and perhaps only with Xbox 2. Not unlike Sony's drive to develop a "home station" that would function as the center of a home entertainment system, Microsoft plans to make the Xbox 2 the machine that will take over our living rooms, providing not only video game entertainment, but also online functions, and direct-to-disk digital TV recording. Microsoft has deep pockets and may venture on undeterred of the moderate success of Xbox 1, but it may take Xbox 2 or even Xbox 3 or 4 before Microsoft's plan for global domination of our living rooms becomes reality.
Recent news stories report that Microsoft may design their own chips for the Xbox 2 design. This means that the manufacturers of the current Xbox console may be out of the picture. For the Xbox 1, NVidia had won the bid to supply the graphics chips for the Xbox, and Intel won the bidding war against the CPU manufacturer AMD.
NVidia and MS... the end of a beautiful relationship
Nvidia's share price rose after they reported doing quite well even though worldwide Microsoft Xbox sales were below expection. Insiders report that Microsoft didn't like Nvidia's refusal to lower the cost of their chip set, and apparently Microsoft is getting ready for legal action against Nvidia, based on a breach of agreement between the two companies.
XBox 2 is a DIY for Microsoft
The main reason for this move is of course the cost for Microsoft for the use of these components in the Xbox, which are largely responsible for the high price of the console, making it extra-hard for MS to offer the console at a reduced price. The surprising news is that Microsoft aims not only to develop and produce their own graphics chips, but also the main CPU, by which Microsoft plans to shake off its dependency on X86 suppliers.
Sources say that Microsoft has posted a request for quotation for a DirectX9/10 microcode engine, the part of the chip that decodes and processes DirectX instructions.
Rather receive than pay license fees
Microsoft's move into chip development and production was foreshadowed by their recent acquisition of Silicon Graphics patents. This means that they can implement many features into their chips that otherwise would require licensing, AND it means that other chip manufacturers like ATI and NVidia will have to start paying Microsoft license fees.
MSIL all the way
The CPU for the Xbox 2 is rumoured to be designed to be a processor that can decode and execute instructions in Microsoft Intermediate Language (MSIL) while at the same time being able to run x86 code, to remain compatible with Xbox 1.
Xbox 2, the real "home station?"
The Xbox 1 has underperformed in terms of projected sales. Forced to follow the price reductions of the Sony's and Nintendo's video game consoles, the Xbox price drop to $199 means that Microsoft is making at least $100 loss on each console sold. The plan is to subsidise this with increased software sales, but this calculation may only provide positive resuls in years to come, and perhaps only with Xbox 2. Not unlike Sony's drive to develop a "home station" that would function as the center of a home entertainment system, Microsoft plans to make the Xbox 2 the machine that will take over our living rooms, providing not only video game entertainment, but also online functions, and direct-to-disk digital TV recording. Microsoft has deep pockets and may venture on undeterred of the moderate success of Xbox 1, but it may take Xbox 2 or even Xbox 3 or 4 before Microsoft's plan for global domination of our living rooms becomes reality.
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cipro wrote:
> MS are supposedly going to loose $1.1billion on the x-box this year.
Is it Microsoft that stand to lose 1.1 billion or is it Bill Gates' personnal fortune you are talking about.
> MS are supposedly going to loose $1.1billion on the x-box this year.
Is it Microsoft that stand to lose 1.1 billion or is it Bill Gates' personnal fortune you are talking about.
cipro wrote:
> Please tell me how? It's no secret his console isn't selling as well
> as he hoped, and it's certainly not making up for the money lost, so
> what exactly will BG pull from his gold plated ar$e which will make
> him the $1billion hes lost?
Easy from intrest what he earn's a day.
> Please tell me how? It's no secret his console isn't selling as well
> as he hoped, and it's certainly not making up for the money lost, so
> what exactly will BG pull from his gold plated ar$e which will make
> him the $1billion hes lost?
Easy from intrest what he earn's a day.
All Gates will do if he needs to draw in extra $$$$$$ is to charge more for Windows and other MS products.
smoking guns wrote:
> I know he would'nt be happy but he can make up for the money quite
> easily.
Please tell me how? It's no secret his console isn't selling as well as he hoped, and it's certainly not making up for the money lost, so what exactly will BG pull from his gold plated ar$e which will make him the $1billion hes lost?
> I know he would'nt be happy but he can make up for the money quite
> easily.
Please tell me how? It's no secret his console isn't selling as well as he hoped, and it's certainly not making up for the money lost, so what exactly will BG pull from his gold plated ar$e which will make him the $1billion hes lost?
cipro wrote:
> Oh no, over $1billion isn't really that huge an amount is it? You
> nugget, I would think BG has seen the amount of dosh hes loosing, and
> not be happy about it. Right now MS are concentrating on investing
> more time and money on their exsisting console to try and make up
> money they've lost to it, than decide to make another new machine or
> even an upgrade.
I know he would'nt be happy but he can make up for the money quite easily.
> Oh no, over $1billion isn't really that huge an amount is it? You
> nugget, I would think BG has seen the amount of dosh hes loosing, and
> not be happy about it. Right now MS are concentrating on investing
> more time and money on their exsisting console to try and make up
> money they've lost to it, than decide to make another new machine or
> even an upgrade.
I know he would'nt be happy but he can make up for the money quite easily.
smoking guns wrote:
> No it is'nt
Oh no, over $1billion isn't really that huge an amount is it? You nugget, I would think BG has seen the amount of dosh hes loosing, and not be happy about it. Right now MS are concentrating on investing more time and money on their exsisting console to try and make up money they've lost to it, than decide to make another new machine or even an upgrade.
> No it is'nt
Oh no, over $1billion isn't really that huge an amount is it? You nugget, I would think BG has seen the amount of dosh hes loosing, and not be happy about it. Right now MS are concentrating on investing more time and money on their exsisting console to try and make up money they've lost to it, than decide to make another new machine or even an upgrade.
Techno freak: this is what i thought - see the older remarks.
But, with MS losing 1.1B, this xbox 2, 3, 4 stuff could all be about making the opposition think twice or just put doubt in PS2 owners minds. Could be just to indicate that they can go the distance - even if they have no firm plans that far ahead. In other words, it could be just "noise".
But, with MS losing 1.1B, this xbox 2, 3, 4 stuff could all be about making the opposition think twice or just put doubt in PS2 owners minds. Could be just to indicate that they can go the distance - even if they have no firm plans that far ahead. In other words, it could be just "noise".
No it is'nt
smoking guns wrote:
> You realy think that makes a big difference to Bill Gates's bank
> balence.
If hes loosing money instead of gaining it, then yes it would make a difference. A 1.1billion difference, which is a lot of money even for Bill Gates.
> You realy think that makes a big difference to Bill Gates's bank
> balence.
If hes loosing money instead of gaining it, then yes it would make a difference. A 1.1billion difference, which is a lot of money even for Bill Gates.
Techno freak wrote:
> It would not cost them to much as it would just be another annual
> upgrade so when Smoking Guns say Xbox 2,3, and 4 he really means Xbox
> 1.2,1.3 and 1.4.
No i don't.
> It would not cost them to much as it would just be another annual
> upgrade so when Smoking Guns say Xbox 2,3, and 4 he really means Xbox
> 1.2,1.3 and 1.4.
No i don't.
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