[opendtv] PR: Gates at CES

Now that the cable guys are going to CES, what will they learn from 
latest and greatest Gates demos?

Gates Showcases Technology Breakthroughs, Alliances and Market 
Momentum That Bring Microsoft's Digital Lifestyle Vision to Life

REDMOND, WA USA 09/09/2003

CES Keynote Features Consumer-Focused Innovations in Music, Photos, 
Movies, Television, Gaming and Communications; and New Alliances With 
Industry Leaders Including MTV Networks, TiVo and BellSouth

LAS VEGAS, Jan. 5 /PRNewswire-FirstCall/ -- In his keynote address at 
2005 International CES, Microsoft Corp. Chairman and Chief Software 
Architect Bill Gates outlined his vision for the digital lifestyle 
and demonstrated a broad range of innovations that will enhance the 
lives of millions of people worldwide. Underscoring the importance of 
choice and flexibility in bringing the digital lifestyle into the 
mainstream, Gates showcased innovations in digital music, photos, 
television and movies, gaming, and communications, and showed how 
Microsoft and its partners are leading the industry in bringing to 
life the experiences consumers want.

  "We are at the forefront in making broad technology investments and 
delivering breakthroughs that bring the digital lifestyle into the 
mainstream," Gates said. "Our strategy is to deliver great software 
and a platform for partner innovation, so consumers can choose from a 
vast array of devices and services that work together seamlessly and 
suit the way they live." Gates unveiled groundbreaking new alliances 
that utilize the power and flexibility of Windows(R) to make 
consumers' digital experiences richer and more personal. Among his 
announcements were these:

-- An agreement with MTV Networks (MTVN) that will create new ways 
for consumers to access MTV content through a variety of digital 
entertainment products. As part of this agreement, MTV intends to 
launch a new PlaysForSure(TM)-compliant MTVN digital music service 
with portable subscription capabilities. -- New digital music and 
video devices that expand Microsoft's PlaysForSure logo program to 
more than 50 currently verified devices and seven online services, 
ranging from small, low-cost, flash-based players to full-featured 
hard-disk-based units and forthcoming network-connected 
high-definition televisions (HDTVs) and DVD players. Gates also 
announced that 90 million copies of Windows Media(R) Player 10 have 
been downloaded since its launch in October. -- Continued momentum 
around interactive entertainment, with Media Center PC sales doubling 
year over year, surpassing 1.4 million units globally and growing by 
40 percent in just three months -- An agreement with BellSouth Corp. 
to test next-generation TV services using Microsoft(R) TV IPTV 
Edition -- Strong momentum for the Xbox(R) system, with 
industry-leading sales for the 2004 holiday season, and expected 
sales of more than 20 million consoles by July 2005. The "Halo(R) 2" 
game generated $125 million in revenue in its first weekend of 
availability, surpassing the biggest opening weekend in box-office 
history, for "Spiderman," which generated just under $115 million.

-- A new collaboration with TiVo Inc. that will enable TiVo 
subscribers to easily transfer their recorded TV content from a 
standalone TiVo Series 2 standalone digital video recorder to their 
Windows XP-based and Media Center PCs, Windows Mobile(TM)-based 
Portable Media Centers, Pocket PCs or Smartphones using new TiVoToGo 
software

Gates also demonstrated the Nikon D2X digital camera with integrated 
802.11 wireless networking capabilities, and two devices that use 
Windows Media Connect to extend the reach of digital content: a new 
connected HDTV from Digitrex for access to digital media in the home, 
and a DVD player-recorder and digital video recorder (DVR) from LG 
Electronics Inc. that can access music, photos and video from Windows 
XP-based PCs. Capitalizing on the theme of entertainment experiences, 
this year's opening address was hosted by late-night talk-show 
personality Conan O'Brien and webcast live to millions of viewers on 
Microsoft.com.

Extending the Reach of Digital Media
Gates underscored Microsoft's differentiated approach to delivering 
the digital lifestyle: "Great software can bring consumers a vast 
array of devices and services that all work together seamlessly." He 
showcased how new digital music players from Archos Inc., iRiver, 
Samsung Electronics America and Gateway Inc. expand the company's 
PlaysForSure logo program to more than 50 currently verified devices, 
ranging from small, low-cost, flash-based players to full-featured, 
hard-disk-based units, network-connected HDTVs and DVD players. Gates 
also announced that consumers have downloaded 90 million copies of 
Windows Media Player 10 -- the equivalent of eight downloads per 
second since its launch in October. Devices and services that bear 
the PlaysForSure logo help take the complexity and uncertainty out of 
digital media, effortlessly playing the digital audio and video 
consumers want, including more than 1 million tracks available on the 
MSN(R) Music service, as well as other online stores currently 
available in the Windows Media Player 10 Digital Media Mall. In the 
area of digital memories, Gates and O'Brien showed how the Windows 
platform is enabling seamless experiences by unveiling Nikon's new 
D2X digital camera. In a demonstration, O'Brien took photos and 
wirelessly transferred them to a Windows XP Media Center Edition 
2005-based PC and then to a Windows Mobile-based Smartphone.

The Digital Lifestyle, Built on Windows Innovation In his keynote 
address, Gates showed how the power and versatility of the Windows 
platform is making it possible to create PCs and consumer electronics 
devices that seamlessly bring together all aspects of the digital 
lifestyle. Noting the increased convergence of PC and TV 
technologies, Gates unveiled new Windows XP Media Center Edition 
2005-based PCs from Alienware Corp., HP, Niveus Media Inc., Stack 9 
Systems Corp. and Ricavision International Inc. that provide access 
to consumers' favorite TV shows as well as their photos, music and 
video, and advanced functionality such as Imaging Science 
Foundation-certified HDTV. He announced a forthcoming DVD recorder 
and DVR from LG Electronics, built on Windows CE, that enables 
consumers to record and burn DVDs of their favorite shows and share 
content with their Windows XP-based and Windows XP Media Center 
Edition-based PCs. Gates then demonstrated advanced universal remote 
controls from Royal Philips Electronics, Niveus and Logitech 
International SA that control Media Center PCs as well as consumers' 
existing home theater equipment. To further show how the capabilities 
of Windows can enhance the devices people use today, Gates 
demonstrated the first network-connected television designed to 
support playback of music and video from online stores with the 
PlaysForSure logo. The new 46-inch LCD HDTV from Digitrex uses 
Windows Media Connect and Windows Media Digital Rights Management 10 
to stream digital photos and personal media from any Windows XP-based 
PC, as well as download and subscription music and video from 
PlaysForSure online stores. He noted that this new type of TV design 
also is being evaluated by Pioneer for its HD plasma displays, and 
that these kinds of innovations are creating new opportunities for 
consumer electronics companies and extending the reach and choice of 
digital media for consumers.

The Future of Television, Rolling Out Today Gates then focused on the 
tremendous potential of Internet protocol-based TV (IPTV) services, 
and noted how Microsoft TV IPTV Edition software is providing a 
platform for network operators worldwide to deliver next-generation 
pay-TV services. This powerful software provides the video platform 
for operators to offer their subscribers integrated video, voice, 
data and mobile services that are not available on today's TV 
distribution platforms. Gates announced that BellSouth has joined the 
growing list of customers, including SBC Communications Inc., Bell 
Canada and several leading telecommunications operators worldwide, 
that will trial IPTV services powered by Microsoft TV software. In 
addition, SBC Services recently announced an agreement with 
Microsoft, valued at more than $400 million over 10 years, to license 
and deploy Microsoft TV IPTV Edition to millions of its subscribers. 
Lea Ann Champion, executive vice president, SBC IP Operations & 
Services, took the stage to demonstrate a number of the features this 
software will make possible, including HD programming, DVR features, 
video on demand and multiple picture- in-picture capabilities.

New Content, More Choices - at Home and on the Go The tremendous 
growth in devices has been matched by an expanding range of audio and 
video content, as Gates demonstrated through a number of 
announcements and alliances. He highlighted the new collaboration 
between Microsoft and TiVo that will enable customers using a TiVo 
Series 2 standalone digital video recorder and new TiVoToGo software 
to easily transfer recorded TV content to their Windows XP-based PCs. 
TiVo expects that within 60 days, consumers also will be able to 
transfer the same content from the PC to Windows Mobile devices, 
including Portable Media Centers, Smartphones and Pocket PCs. TiVo 
announced that it expects its standalone TiVo Series 2 subscribers to 
have access to the software within 60 days. "We share Microsoft's 
excitement about the possibilities for digital entertainment," said 
Mike Ramsay, chief executive officer of TiVo. "When we launched TiVo, 
it changed the way people enjoyed their favorite shows -- from prime 
time to anytime. When Microsoft launched Portable Media Centers, it 
gave people the ability to take them on the go. This gives our 
customers the best of both worlds -- to have their favorite 
programming available wherever and whenever they want it." Gates then 
announced a groundbreaking agreement with MTV Networks to collaborate 
on long-term digital media initiatives that will create new ways for 
consumers to access content -- including from MTV, VH1, CMT and 
Comedy Central -- through a variety of digital entertainment products 
and scenarios. As part of the agreement, MTV will target its content 
offerings to Media Center PCs and Portable Media Centers and intends 
to launch a new PlaysForSure-compliant MTVN digital music service 
with portable subscription capabilities, available in the Windows 
Media 10 Digital Media Mall. "MTV Networks shares Microsoft's vision 
for making it easier for consumers to get the entertainment and 
information they want, and this agreement is a major step toward that 
goal," said Judy McGrath, chairman and CEO of MTV Networks. "Using 
Microsoft's technology, we'll be able to give our consumers a deeper, 
more connected experience by providing them with the ability to enjoy 
MTV, VH1, CMT and Comedy Central content whenever and wherever they 
choose." Gates then highlighted the new MSN Video Downloads service, 
which provides a single source for sports, news and entertainment 
content for Portable Media Centers and other Windows Mobile-based 
devices, including daily video downloads from a wide range of leading 
content providers including MSNBC, CNBC, FOX Sports, HGTV, Cookie Jar 
Entertainment and IFILM Corp. MSN Video Downloads ( 
http://video.msn.com/downloads ) has launched a preview of the 
service offering both free and premium memberships, and the site is 
expected to launch in final form within a few months.

Xbox Leading the Way in Interactive Entertainment Gates noted the 
continued momentum around Xbox and the Xbox Live(TM) service, 
announcing the industry-leading sales of the Xbox console for the 
critical 2004 holiday season in the United States, garnering a 
projected 40 percent market share for the months of November and 
December. The much-anticipated "Halo 2" title, launched Nov. 9, has 
sold more than 6.3 million copies to date, surpassing the sales to 
date of the first "Halo" title. "Halo 2"'s opening-day revenue of 
$125 million in the United States and Canada surpassed the biggest 
opening weekend in box-office history, for "Spiderman," which 
generated just under $115 million. The hot Xbox role- playing game 
title "Fable" also broke the 1 million sales mark in only two months. 
Xbox Live experienced the highest activity levels ever, with more 
than 1 million unique users playing on the service and "Halo 2" 
gamers spending a record-breaking 69 million hours on the service to 
date - more than any other Xbox Live game. Gates outlined three major 
trends driving the gaming phenomenon today: HDTV, ubiquitous 
broadband and wireless connectivity, and rich personalization. To 
demonstrate the latter point, he joined O'Brien to play "Forza 
Motorsport(TM)," an auto racing game from Microsoft Game Studios 
scheduled to launch in April 2005. Gates and O'Brien raced through 
Manhattan in customized cars, showing off the title's immersive, 
engaging gaming experiences -- and their lack of online driving 
skills.

Communication and Content on More Devices Every Day Turning to 
communications and mobility, Gates highlighted that Microsoft Windows 
Mobile-based Smartphones are now available from 61 mobile operators 
in 28 countries and that 37 partners are shipping more than 25 
Windows Mobile-based phone designs. Gates demonstrated how the 
Windows Mobile-based Audiovox SMT5600 Smartphone can synchronize 
audio and video content using Windows Media Player 10, enabling users 
to play audio from subscription services and access video content 
from their PC. He also announced that Microsoft, Cingular Wireless 
LLC and Garmin International Inc. will deliver new consumer devices 
running Windows Mobile software this year, and that Ecast Inc., 
Universal Electronics Inc. and Akimbo Systems are shipping new 
consumer devices using Windows Embedded technology. Gates 
demonstrated prototype technology from Microsoft Research that 
enables users of Windows Mobile-based Smartphones to remotely browse 
and display photos stored on their home or office PC. Gates then 
highlighted the momentum behind Microsoft's Smart Personal Objects 
Technology and Smart Watches for MSN Direct by introducing three new 
wristwatches from Fossil Inc. and Suunto, and alliances with Oregon 
Scientific Inc. and M.Z. Berger and Co. to develop alarm clocks 
featuring MSN Direct weather content. Gates also announced that the 
amount of content available to consumers has doubled since last 
year's launch, and noted expanded network coverage in metropolitan 
areas throughout the United States and Canada. Gates concluded his 
keynote address by looking back at the year's amazing progress in 
consumer technologies and outlining a number of key trends that will 
shape the future of the consumer electronics industry. Noting the 
continued growth in storage capacity and network bandwidth, he 
predicted that individual devices will soon be able to store as much 
data as today's largest music services, and how ultrawideband 
networking will make it possible to create even more diverse and 
innovative smart devices. "This holiday season was a milestone for 
Microsoft and its partners -- we've seen how the power of software 
can enhance consumers' digital experiences, help ensure that they 
work together seamlessly, and offer people more choices than ever," 
Gates said. "The digital lifestyle is here to stay."

Founded in 1975, Microsoft is the worldwide leader in software, 
services and solutions that help people and businesses realize their 
full potential.

NOTE: Microsoft, Windows, PlaysForSure, Windows Media, Xbox, Halo, 
Windows Mobile, MSN, Xbox Live and Forza Motorsport are either 
registered trademarks or trademarks of Microsoft Corp. in the United 
States and/or other countries. The names of actual companies and 
products mentioned herein may be the trademarks of their respective 
owners.


SOURCE Microsoft Corp.
Web Site: http://www.microsoft.com
Photo Notes: NewsCom:
http://www.newscom.com/cgi-bin/prnh/20000822/MSFTLOGO AP Archive: 
http://photoarchive.ap.org PRN Photo Desk, photodesk@xxxxxxxxxxxxxx
 
 
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