Microsoft licensing the 360 - good idea or horrible idea?

This is still a rumour of course, but according to the story gamespot is running, people seem to be speculating that microsoft plan to announce at CES that the 360 will be licensed to other companies. While they deny that they're releasing a 360 with built-in HD-DVD drive, licensing the 360 to other companies would pretty much guarantee Toshiba bringing out an HD-DVD 360 as soon as they possibly can.

So; licensing? Makes the console much cheaper to produce and sell, very bad news for Sony as their biggest rivals step into the gaming market which they've managed to keep them out of until now. Downsides? Well... can we expect consoles to basically become PCs with reiterations releasing every year if more than one company is making them?

Thoughts?

If it gives me an alternative to Microsoft's shoddily-built hardware, i'm all for it. However, would the three-year warrenty still apply, or would I get a new warrenty from the manufacturer?

If it gives me an alternative to Microsoft's shoddily-built hardware, i'm all for it. However, would the three-year warrenty still apply, or would I get a new warrenty from the manufacturer?

-Spock-

It'd be the manufacturer. Just like companies which make licensed controllers for consoles; the companies which made the consoles in the first place have nothing to do with it once it's produced. Though sony microsoft and nintendo all have fairly strict quality-assurance tests to make sure nothing crappy is released for their machines.

[QUOTE="-Spock-"]

If it gives me an alternative to Microsoft's shoddily-built hardware, i'm all for it. However, would the three-year warrenty still apply, or would I get a new warranty from the manufacturer?

Ninja-Vox

It'd be the manufacturer. Just like companies which make licensed controllers for consoles; the companies which made the consoles in the first place have nothing to do with it once it's produced. Though sony microsoft and nintendo all have fairly strict quality-assurance tests to make sure nothing crappy is released for their machines.

I know i'm probably being a greedy bastard when I say this, but I really did want reliable hardware and the three-year RROD warranty. I'm in the market to buy a 360 this year, but I just don't know exactly what i'm going to be doing. Do I go for an Elite soon? Do I wait for the rumored "Ultimate"? Do I wait for a third-party variation which is more reliable (which would mean more waiting after release to see the results)? Do I wait for the smaller 45nm processors? I really do want the games, but the constant SKU variations and continued progress of the hardware is making it difficult to decide.

Whatever is good for my 360, let it be done

To put it simply, as long as i can play ALL games, that even core can so far, i have no problem if they attach a spacesip on a new version

But frankly, this rumorseems like BS

[QUOTE="Ninja-Vox"][QUOTE="-Spock-"]

If it gives me an alternative to Microsoft's shoddily-built hardware, i'm all for it. However, would the three-year warrenty still apply, or would I get a new warranty from the manufacturer?

-Spock-

It'd be the manufacturer. Just like companies which make licensed controllers for consoles; the companies which made the consoles in the first place have nothing to do with it once it's produced. Though sony microsoft and nintendo all have fairly strict quality-assurance tests to make sure nothing crappy is released for their machines.

I know i'm probably being a greedy bastard when I say this, but I really did want reliable hardware and the three-year RROD warranty. I'm in the market to buy a 360 this year, but I just don't know exactly what i'm going to be doing. Do I go for an Elite soon? Do I wait for the rumored "Ultimate"? Do I wait for a third-party variation which is more reliable (which would mean more waiting after release to see the results)? Do I wait for the smaller 45nm processors? I really do want the games, but the constant SKU variations and continued progress of the hardware is making it difficult to decide.

Then it's offical, this is a bad move by Microsoft. Now instead of 4 or 5 SKU's, there will be....who knows how many. It's kinda rediculous. Maybe Microsoft is trying to find someone to fix their mistakes with the hardware....LICENSE THE 360 TO SONY!! :lol:

good thing. it's like how they dominated the pc market. selling OSs :)Mystery_Writer

I really don't see this being a "good thing".

I guess you could look to the history of licensed consoles to see what could happen.

I know for sure the 3DO was produced by multiple firms and I never heard too many horror stories about the system itself, it's horror stories all came from the price and the software.

I guess you could look to the history of licensed consoles to see what could happen.

I know for sure the 3DO was produced by multiple firms and I never heard too many horror stories about the system itself, it's horror stories all came from the price and the software.

Riverwolf007

You can think how confusing this would get, especially if that company wanted to use more powerful hardware....what about the developers? Will all of their games work on these licensed consoles? I see many potential problems.

I guess you could look to the history of licensed consoles to see what could happen.

I know for sure the 3DO was produced by multiple firms and I never heard too many horror stories about the system itself, it's horror stories all came from the price and the software.

Riverwolf007

You can think how confusing this would get, especially if that company wanted to use more powerful hardware....what about the developers? Will all of their games work on these licensed consoles? I see many potential problems.

[QUOTE="Riverwolf007"]

I guess you could look to the history of licensed consoles to see what could happen.

I know for sure the 3DO was produced by multiple firms and I never heard too many horror stories about the system itself, it's horror stories all came from the price and the software.

dream431ca

You can think how confusing this would get, especially if that company wanted to use more powerful hardware....what about the developers? Will all of their games work on these licensed consoles? I see many potential problems.

[QUOTE="Riverwolf007"]

I guess you could look to the history of licensed consoles to see what could happen.

I know for sure the 3DO was produced by multiple firms and I never heard too many horror stories about the system itself, it's horror stories all came from the price and the software.

dream431ca

You can think how confusing this would get, especially if that company wanted to use more powerful hardware....what about the developers? Will all of their games work on these licensed consoles? I see many potential problems.

All these problem are quite easily overcome. All companies that hold the license must hold to certain regulations stipulated by microsoft. They would only have freedome to alter things that in no way inhibit the working of the console with all games. They basiacally need to use the xenon for example. The can however use a totally different DVD-Drive, or maybe an HD-DVD or even blu-ray. Differente case maybe? Why not? A different controller? Sure.

All microsoft has to do is slight quality assurance. This would be a dream come true!

[QUOTE="dream431ca"][QUOTE="Riverwolf007"]

I guess you could look to the history of licensed consoles to see what could happen.

I know for sure the 3DO was produced by multiple firms and I never heard too many horror stories about the system itself, it's horror stories all came from the price and the software.

Arsuz

You can think how confusing this would get, especially if that company wanted to use more powerful hardware....what about the developers? Will all of their games work on these licensed consoles? I see many potential problems.

All these problem are quite easily overcome. All companies that hold the license must hold to certain regulations stipulated by microsoft. They would only have freedome to alter things that in no way inhibit the working of the console with all games. They basiacally need to use the xenon for example. The can however use a totally different DVD-Drive, or maybe an HD-DVD or even blu-ray. Differente case maybe? Why not? A different controller? Sure.

All microsoft has to do is slight quality assurance. This would be a dream come true!

*EDIT* They might be the ones supplying all the controllers which they would make a killing off of.

Well, they would still have the OS lock in the 3rd party manufactured 360s in order for them to play 360 games. They long know making hardware isn't as profitable as making software.

Interesting rumor, where did you heard it?

If true it seems to be a desperation tactic. Lets face it. Sales have dropped HUGE for the 360. They sold 3.5 million fewer than last year. The Wii is spanking bill gates and now the PS3 is picking up steam. 2008 is not going to be a good year for the 360 so this might be a move to flood the market with their machine. On the good side though it would be good as the consumer could buy hardware not produced and engineered my Microsoft. Leave the engineering of gamming rigs to someone other than Microsoft and it will be great.

this will effectively make consoles into PC's. whats the difference at this point? you start with a base package and add on whatever the manufacturer wants. i think this will ruin console gaming, but perphaps this was MS plan all along. maybe they didnt care how much money they lost to establish an install base, they knew if they licensed out their console when no one else did they would win. how can sony and the wii compete if this happens? all consoles will become the same thing, PC's.cliff122316

The true console monopoly....do any of you actually want this to happen?

[QUOTE="Arsuz"][QUOTE="dream431ca"][QUOTE="Riverwolf007"]

I guess you could look to the history of licensed consoles to see what could happen.

I know for sure the 3DO was produced by multiple firms and I never heard too many horror stories about the system itself, it's horror stories all came from the price and the software.

pins_basic

You can think how confusing this would get, especially if that company wanted to use more powerful hardware....what about the developers? Will all of their games work on these licensed consoles? I see many potential problems.

All these problem are quite easily overcome. All companies that hold the license must hold to certain regulations stipulated by microsoft. They would only have freedome to alter things that in no way inhibit the working of the console with all games. They basiacally need to use the xenon for example. The can however use a totally different DVD-Drive, or maybe an HD-DVD or even blu-ray. Differente case maybe? Why not? A different controller? Sure.

All microsoft has to do is slight quality assurance. This would be a dream come true!

*EDIT* They might be the ones supplying all the controllers which they would make a killing off of.

this will effectively make consoles into PC's. whats the difference at this point? you start with a base package and add on whatever the manufacturer wants. i think this will ruin console gaming, but perphaps this was MS plan all along. maybe they didnt care how much money they lost to establish an install base, they knew if they licensed out their console when no one else did they would win. how can sony and the wii compete if this happens? all consoles will become the same thing, PC's.cliff122316

[QUOTE="cliff122316"]this will effectively make consoles into PC's. whats the difference at this point? you start with a base package and add on whatever the manufacturer wants. i think this will ruin console gaming, but perphaps this was MS plan all along. maybe they didnt care how much money they lost to establish an install base, they knew if they licensed out their console when no one else did they would win. how can sony and the wii compete if this happens? all consoles will become the same thing, PC's.dream431ca

The true console monopoly....do any of you actually want this to happen?

I wouldn't think they would as their own hardware sales would decline, that coupled with the amount of SKU'S it would lead to. I guess it would depend on how much money they would make on them, compared to their own ultimately.Heil68

They'd probably make more money through licensing to be honest. The video games business is all about getting as many consoles out there as possible to maximise the profit you take in on videogames; this way they wouldn't have to take a loss to get their consoles out their. Other companies would do it for them, and they'd even make money off the licensing.

[QUOTE="pins_basic"][QUOTE="Arsuz"][QUOTE="dream431ca"][QUOTE="Riverwolf007"]

I guess you could look to the history of licensed consoles to see what could happen.

I know for sure the 3DO was produced by multiple firms and I never heard too many horror stories about the system itself, it's horror stories all came from the price and the software.

Panzer_Zwei

You can think how confusing this would get, especially if that company wanted to use more powerful hardware....what about the developers? Will all of their games work on these licensed consoles? I see many potential problems.

All these problem are quite easily overcome. All companies that hold the license must hold to certain regulations stipulated by microsoft. They would only have freedome to alter things that in no way inhibit the working of the console with all games. They basiacally need to use the xenon for example. The can however use a totally different DVD-Drive, or maybe an HD-DVD or even blu-ray. Differente case maybe? Why not? A different controller? Sure.

All microsoft has to do is slight quality assurance. This would be a dream come true!

*EDIT* They might be the ones supplying all the controllers which they would make a killing off of.

[QUOTE="-Spock-"][QUOTE="Ninja-Vox"][QUOTE="-Spock-"]

If it gives me an alternative to Microsoft's shoddily-built hardware, i'm all for it. However, would the three-year warrenty still apply, or would I get a new warranty from the manufacturer?

dream431ca

It'd be the manufacturer. Just like companies which make licensed controllers for consoles; the companies which made the consoles in the first place have nothing to do with it once it's produced. Though sony microsoft and nintendo all have fairly strict quality-assurance tests to make sure nothing crappy is released for their machines.

I know i'm probably being a greedy bastard when I say this, but I really did want reliable hardware and the three-year RROD warranty. I'm in the market to buy a 360 this year, but I just don't know exactly what i'm going to be doing. Do I go for an Elite soon? Do I wait for the rumored "Ultimate"? Do I wait for a third-party variation which is more reliable (which would mean more waiting after release to see the results)? Do I wait for the smaller 45nm processors? I really do want the games, but the constant SKU variations and continued progress of the hardware is making it difficult to decide.

Then it's offical, this is a bad move by Microsoft. Now instead of 4 or 5 SKU's, there will be....who knows how many. It's kinda rediculous. Maybe Microsoft is trying to find someone to fix their mistakes with the hardware....LICENSE THE 360 TO SONY!! :lol:

Well, they would still have the OS lock in the 3rd party manufactured 360s in order for them to play 360 games. They long know making hardware isn't as profitable as making software.

Interesting rumor, where did you heard it?

lordxymor

It's on the gamespot front-page in the article about the rumoured 360 Ultimate. Basically is says that microsoft deny they have any plans to make a new 360 SKU with HD-DVD, and then goes on to quote different publications which speculate an announcement at CES that the 360 is planned to be licensed to other companies.

[QUOTE="dream431ca"]

[QUOTE="cliff122316"]this will effectively make consoles into PC's. whats the difference at this point? you start with a base package and add on whatever the manufacturer wants. i think this will ruin console gaming, but perphaps this was MS plan all along. maybe they didnt care how much money they lost to establish an install base, they knew if they licensed out their console when no one else did they would win. how can sony and the wii compete if this happens? all consoles will become the same thing, PC's.wemhim

The true console monopoly....do any of you actually want this to happen?

i dont think this would mean all the sytems integrated. thats the last thing that will happen when one of them fails and sells out. think about what the console would then be. you would have an OS that allows it to play 360 games. then microsoft would license out all the hardware manufacturing (since they obviously arent too good at it) to 3rd parties. the third parties would have to use the OS to run the games but they would be free to put in any extra hardware they want (which would lead to better multimedia, sort of like ummmm i dont know...a pc?). hello compatability issues! you now have a pc that you hook up to your tv.

[QUOTE="lordxymor"]

Well, they would still have the OS lock in the 3rd party manufactured 360s in order for them to play 360 games. They long know making hardware isn't as profitable as making software.

Interesting rumor, where did you heard it?

Ninja-Vox

It's on the gamespot front-page in the article about the rumoured 360 Ultimate. Basically is says that microsoft deny they have any plans to make a new 360 SKU with HD-DVD, and then goes on to quote different publications which speculate an announcement at CES that the 360 is planned to be licensed to other companies.

When you think about it, it actually makes a lot of sense business-wise. Microsoft lose money whenever they sell a 360. And they have to pay other companies for all of the componants anyway. It makes sense to allow a company like Toshiba which can produce the 360 and make profit on it to manufacture it instead, allowing microsoft to just stick to stuff like Live and games where the actual money-making comes in.

So long as they control which companies produce it and what they do with it; nobody wants a Panasonic Xbox, a Toshiba Xbox, a Thomson Xbox.... all of which are different and dont work together do well.

IMO there is already to many 360/ps3 sku's.

This move could just lead to more confusion in a already packed market

When you think about it, it actually makes a lot of sense business-wise. Microsoft lose money whenever they sell a 360. And they have to pay other companies for all of the componants anyway. It makes sense to allow a company like Toshiba which can produce the 360 and make profit on it to manufacture it instead, allowing microsoft to just stick to stuff like Live and games where the actual money-making comes in.

So long as they control which companies produce it and what they do with it; nobody wants a Panasonic Xbox, a Toshiba Xbox, a Thomson Xbox.... all of which are different and dont work together do well.

Ninja-Vox

I dont know... how would this be a good thing for Microsoft? Thta would mean they would have to lower the price of their 360 to compete... or have to stop production all together.helium_flash

would they even set the price anymore? if they totally license the hardware the third party manufacturer would decide the price, just like PC vendors. microsoft would make their money giving them the license to run xbox games. sure they wouldnt produce any xbox's, but they could make more money this way.

this seems like a solid business decision for MS, but is it good for gaming? that is the question. i think it all hinges on how widely they license it. if its just one manufacturer it will make no difference to the overall market. if they license it out like windows....oh god

Look how many different types of TV there are, of DVD player, of computers.Bromz

Yes, and at the same time look at how difficult it is to choose between each model.

Walk into any electronics store, go to the HDTV section where they're all set-up - running a test DVD/Blu-ray/whatever - and just try to come to a final decision in a couple of minutes. Personally, I find it impossible to choose between a Philips Ambilight, a Panasonic Viera and a 40" 1080p Samsung because they each boast their own image enhancing features and look better in certain situations. Then there's the experts who tell you there's no "single best HDTV", which makes the decision even harder.

DVD players are also difficult - you've got you're bread-and-butter players, your recorders with HDDs and your HDMI upscalers. And there's sometimes all three rolled into one which costs a lot more money than you'd expect. Plus more recently there was the big HD battle between HD-DVD and Blu-ray, which is thankfully over now due to Warner's decision to support Blu-ray only. I bet there's a lot of pissed HD-DVD supporters right now who bought into the wrong format.

Then there's the in-store computing deals which almost always fall short in some way - includes Vista, great graphics card, great processor, but too little RAM for what you want to do. Fortunately, computers are at least a little easier since they can be built to the users own specifications.

The point is, I would hate to see this kind of decision making come into gaming. Keep it like the SNES, PS2 or Wii - only one cheap, basic SKU that can keep you going through the generation.

This would be good for M$, but absolutely horrible for us consumers. Constant changes from many different companies flooding the market would actually make matters worse. Ok, say it lowers the price to $199 for a whoevermakesit360. Then a "new" version comes out 6 months later and you want that one. There is a thing called oversaturation of the market, and thats exactly what this would be. To me this sounds like M$ is about to pull out of the console race and concentrate on the online gaming aspect. Could you imagine the ps3 or ps4 using M$Live online service? That wouldnt be such a bad thing. But this rumor is definately not a good thing to us consumers, or to the 360 fanboys.Dilrod

its almost like they are taking the ship down with them. they are finally giving up on winning the console war, so they figure they might as well absolutely screw over sony and ninty if they are going to lose anyway by ruining the console market with licensing. they can sit back and make money off of software and online while the lowely peasants make the hardware like windows.

This is still a rumour of course, but according to the story gamespot is running, people seem to be speculating that microsoft plan to announce at CES that the 360 will be licensed to other companies. While they deny that they're releasing a 360 with built-in HD-DVD drive, licensing the 360 to other companies would pretty much guarantee Toshiba bringing out an HD-DVD 360 as soon as they possibly can.

So; licensing? Makes the console much cheaper to produce and sell, very bad news for Sony as their biggest rivals step into the gaming market which they've managed to keep them out of until now. Downsides? Well... can we expect consoles to basically become PCs with reiterations releasing every year if more than one company is making them?

Thoughts?

Ninja-Vox

I'm not sure. I don't remember this ever taking place with previous gaming hardware developers. Looking at the unchanging side of things, this doesn't affect current 360 owners in any way; This could pose as an oppertunity for MSFT tap into the hardcore electronics enthusiast, bringing in potentially new gamers.

Given Toshibas track record of reliable electronics, maybe this could be the end of the TRL while taking pressure off of MSFT's shoulders.

This seems likely with New Line Cinema and Warner Bros. going Blu-ray exclusive, this seems like it could be a big counter on Toshibas part.

Now that I think about it, I can't seem any harm done. At best, console gaming would become even more like PC gaming in a sense that, these X360's are able to play games but that may not be sole reason your buying into it. At worse, they won't sell any and the idea will flop but 'regular' 360 sales will go unaffected. For MSFT, it seems like a win/win.