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  Microsoft Refocusing Digital TV Strategy
Time: 06:57 EST/11:57 GMT | News Source: Associated Press | Posted By: Alex Harris

Microsoft Corp. is refocusing its digital television strategy on cheaper, less complicated software, after pouring hundreds of millions of dollars and years of research into savvy TV software for which it has found very few buyers.

Microsoft will put its high-end Microsoft TV Advanced software -- aimed at creating virtual home entertainment computers -- on ice while it races to catch up with rivals that already have a huge customer base for bare-bones services like online program guides, according to several industry sources. Microsoft declined to comment on the future of its high-end software but acknowledged it will focus on simpler services.

"We are putting considerably more resources behind a more basic broadcast-centric solution. There's clearly market demand for it," Mark Le Goy, European Marketing Manager for Microsoft TV, told Reuters on Wednesday.

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#1 By 2960 (156.80.64.135) at 5/9/2002 9:14:08 AM
I sure wish Microsoft would make a definitive statement about where UltimateTV fits in all of this.

They pushed down a superb software update about a month ago. However, it is as unclear as ever as to whether UTV is going to be around in another year.

Those of us who spent hundreds on hardware sure hope so!

TL

#2 By 135 (209.180.28.6) at 5/9/2002 4:01:57 PM
This is a tough market, not because of competition but because consumers don't really want it.

Tivo has been selling for years, and has only been able to convince a relatively few customers to buy(like 500,000). Tivo is selling worse than Sega's Dreamcast and this is the supposed market leader.

#3 By 61 (65.32.169.133) at 5/9/2002 7:02:22 PM
How many times are we going to see the exact same article run through?

Ok, so MS is re-organizing it's TV group, once is enough!

#4 By 135 (209.180.28.6) at 5/9/2002 7:32:45 PM
#6 - I agree

#8 - My understanding is that after Microsoft then built a similar device for DirecTV, DISH network tried to strongarm them which MS resented and so they dropped DISH like a bad habit.

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