Digital Home Thoughts: Microsoft Announces New Media Center Extenders and Internet TV Beta

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Tuesday, October 2, 2007

Microsoft Announces New Media Center Extenders and Internet TV Beta

Posted by Jeremy Charette in "HARDWARE" @ 10:00 AM

http://money.cnn.com/news/newsfeeds/articles/prnewswire/AQTH07527092007-1.htm

""We are excited to reveal the first series of totally quiet, cool, and sleek-looking Media Center Extender devices, designed to deliver the ultimate entertainment experience to every TV set in your home," said Joe Belfiore, corporate vice president, Entertainment and Devices eHome Division, Microsoft. "These products are the initial third-party devices that can wirelessly connect a TV with a PC, with features including live high-definition TV, PVR, movies, pictures, music and online services. In addition, the Internet TV beta allows Windows Media Center as well as Extender users to enjoy free* high- quality television from some of their favorite studios and networks in Media Center, directly over the Internet.""



I'm happy to see this Internet TV beta, as well expanded support for xVid, Divx, and h.264 video; but I think Microsoft is going about this in totally the wrong way. There are over 10 million Xbox 360s out there, all with Media Center Extender functionality. The 360 is vastly more powerful than any of these upcoming 3rd-party extenders. The only thing it lacks that some of these new devices bring to the table is Wireless-N support. (Oh, and those video codecs listed above...though the rumor mill suggests they might be coming soon.)

My suggestion to Microsoft: market the hell out of the MCX capabilities of the 360. There are tens of millions of copies of Vista Home Premium out there on OEM computers, and an untapped market of users who have your product, but probably aren't even using it. Show them what MCE and the 360 can do. Setup store demos, have promotional events in major cities, blitz primetime TV with ads showing off all the cool things MCE does...do something. Media Center is a fantastic product with one huge problem: lack of consumer awareness. Come on Microsoft, you have an army of trojan horses in living rooms around the world. Unleash them on the masses.

As for the upcoming MCXs? In my experience at DigitalLife, they were slow and not very responsive. Played back WMVHD smoothly however. The prices are ridiculous. Starting at $299, they are $20 more than the base Xbox 360 SKU. They will never see the economies of scale that the 360 will, so prices aren't likely to drop by much, nor anytime soon. A good lineup of products designed to serve a very very small slice of the market.

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