Microsoft lines up 150 Xbox developers

Microsoft is still a month away from the scheduled launch of Xbox video game

console. This week, the company said it has lined up 150 game developers and a

$500 million marketing budget to go up against market leaders Sony, Sega and

Nintendo.

Companies that have signed up for the Xbox effort include Activision and THQ,

Bandai, Konami, Namco, Eidos and Vivendi's Sierra Studios.

Electronic Arts, the leading maker of video games, was notably absent from

Microsoft's list of Xbox games makers. The two companies are yet to strike a

formal pact, said Electronic Arts spokesman Jeff Brown. "We think that

Electronic Arts' games would look great on the Xbox. However, at this time there

is no licensing agreement between Electronic Arts and Microsoft.'' Third party

support from Electronic Arts and other publishers is critical to the success of

any video game platform. Analysts believe the odds are still heavily stacked

against Microsoft. Video game players are some of the most critical and

brand-sensitive consumers.

In the absence of a major failure by the leading suppliers to supply the

technology and games consumers will buy, the window of opportunity for Microsoft

will be extremely small. More than anything, many consumers will have difficult

time believing Microsoft is truly committed to making it big in the video game

industry. "We really are seeing a worldwide effort to develop games for the

Xbox," said Robbie Bach, who heads Microsoft's games unit.