Why Xbox One's ambitious media strategy failed
The pack-in Kinect is no more, and while Microsoft remains bullish on the camera's place at the heart of "the premium Xbox One experience", the reality is clear:
for all the right reasons, Kinect has gone from being an integral component to an optional peripheral.
This solves many problems: the price differential with PlayStation 4 has now been addressed, while internal resources dedicated to Kinect processing can now be
returned to game developers. On the flipside, the original vision for Xbox One as a multi-faceted all-in-one entertainment system as well as a games machine now lies in ruins. Kinect was at the heart of everything that made Xbox One different and without it we're left with a machine that offers pretty much the exact same proposition as PS4, but without parity in hardware specifications.
This week's announcements are all about levelling the playing field with Sony. The price is the same, Games with Gold moves closer into alignment with PlayStation Plus, while non-gaming services are also like-for-like thanks to the removal of the almost criminal paywall that saw users paying for the privilege of using Internet Explorer, Skype and even non-Microsoft services like YouTube and Netflix - a state of affairs entirely unique to Xbox in a world where all of those services are free on virtually every other device available. It's the latest in a long line of U-turns, but there's the sense that Microsoft is
finally listening.
But of all the repositioning carried out this week, it's the removal of Kinect that feels most important, because it's the end of Microsoft's vision for an all-in-one entertainment system. In hindsight, packing in Kinect and making media integration central to the Xbox One proposition looks like an awful mistake. However, put into context, there were perfectly logical reasons for every single element of its failed strategy. So what were they? And what kind of legacy do they leave now that things have changed so dramatically?