Microsoft Company Development in the Gaming Industry
The Microsoft company is among the renowned company worldwide for its success, and unique products since Bill Gates and Paul Allen founded it in 1975. The Microsoft company’s major divisions are based on the development of smart clouds and personal computing applications, manufacturing and licensing software products, software development tools, among other services that applicable in today’s technology devices. The company’s products have continued to improve and dominate their categories in the market, and they include Microsoft office Xbox, DirectX, Microsoft windows, and games. Don't use plagiarised sources.Get your custom essay just from $11/page
The release of Xbox in 2001 and later the Xbox Live in 2002 marked Microsoft’s journey of releasing a series of improved game consoles in the market. The company also released the Xbox 360, which was a more powerful gaming console in 2005 to counter competition in the gaming market. The intense competition saw the Microsoft company struggle to make profits from its console until 2009 when it reduced the price of the Xbox 360 Elite by almost 25% (Hall & Zachary, n.d.). The Xbox contributes to significant revenues in the company that come from 31% market share of all video games played in the US (WePC, 2020). The move increased its market share, especially in America, where the Xbox 360 became the most used game console in 2010.
The Microsoft company is known for releasing products that later come to be a great success despite failures in the initial stages. The company’s success can largely be attributed to its technological prowess, aggressive competitive tactics, strong-willed perseverance, and strategic marketing that reflect Bill Gates’s view on business. The company’s main competitors included Sony PlayStation and Nintendo Wii. Microsoft’s gaming console stands a chance to increase its market share by availing mobile versions of the games found in Xbox.