This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Microsoft Aims to Put Juice Back in Xbox

Stocks in this article: MSFT SNE NTDOY AAPL GOOG AMD

NEW YORK ( TheStreet) - Microsoft (MSFT - Get Report) dominated the world of computer software not that long ago, and that domination also included their game console, the Xbox.

But, times have changed. What used to be cool to operate on your TV set or monitor is now a whole lot easier to do on your smartphone.

So, today, when Microsoft announces its next generation Xbox gaming system, the world, or at least the gaming world, will be closely watching to see what the Redmond, WA.-based software maker has done to the win back consumers.

In mid-day trading, Microsoft shares were falling 0.6% to $34.88.

The first Xbox was unleashed upon the world in time for Christmas, 2001. It was the first such device made by an American company. It's main competition was Sony's (SNE - Get Report) popular PlayStation. Four years and two PlayStations later, Microsoft upped the ante and released the Xbox 360. It was able to take full advantage of Microsoft's Xbox Live online. The Xbox 360 was an instant hit.

Since that time, Microsoft has made improvements and come up with clever peripherals to keep the 360 feeling fresh. But, it's now 2013 and Sony recently introduced PlayStation 4. Add in the popularity of Nintendo's (NTDOY)Wii and every tablet and smartphone gamer on the planet and you have an entirely different competitive environment for gaming devices.

Microsoft needs to come up with something big - and quickly. Windows 8 was not an instant success. Forget about Windows RT. And despite being a terrific mobile platform, Windows Phone software has not generated enough buzz to translate into a product that challenges Apple's (AAPL - Get Report) iOS or Google's (GOOG) Android platforms.

So today, when Don Mattrick and the Xbox development team gather to unveil their next product we're expecting something new and ambitious. It's rumored that the next Xbox console, nicknamed either "Durango" or "Xbox Infinity" or "Xbox 720", will have an eight-core AMD (AMD - Get Report) processor, a super graphics chip, 8 GB of RAM, 500 GB of storage and possibly a Blu-ray disc drive. Microsoft previously avoided Blu-Ray because their competing HD DVD format lost out in that consumer battle.

Expect the new computer box to have full HD video everywhere (including the front-facing camera), a new style controller, provide for augmented reality (similar to Google Glass) as well as be able to (hopefully) understand voice commands. We should also hear about Microsoft's plans for their next-generation, online gaming service.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,191.37 -195.84 -1.13%
S&P 500 2,002.16 -27.39 -1.35%
NASDAQ 4,637.9940 -43.5030 -0.93%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs