Microsoft Corp.'s Xbox video game console is part of a "broader concept", the software giant's Chief Executive Steve Ballmer said on Thursday, hinting at an oft-guessed at strategy by the company to turn the machine into a wired entertainment hub. Microsoft originally intended to pitch an all-in-one device that could handle games, interactive TV and computer functions, but that concept was slapped down by software makers, Ballmer told analysts at an investment conference in Phoenix, Arizona.

The Redmond, Washington-based company has touted the Xbox's impressive hardware and gaming abilities, but executives have kept mum about possible future uses for the device, which with its 8-gigabyte hard drive and built-in port for fast Internet connections could be used to pipe music, movies and other content into living rooms. Ballmer said there was a larger agenda for the Xbox than just games, but he gave no details. "We know we have to succeed but there is a broader concept there that we will pursue at some point," Ballmer said. "You can say, is it the end of the road or is there a bigger play? And the answer is yeah, there's a bigger play we hope to get over time."