Game for a fee hike

The cost of playing “Modern Warfare 2” with friends on the Xbox 360 is about to go up. Microsoft announced Monday it would raise annual subscription rates for its Xbox Live service from $50 to $60 starting Nov. 1.

That’s the first price increase in Xbox Live’s eight-year history — and it’s a move that will affect more than just gamers in households. Microsoft has steadily added adding non-gaming functionality to the service in a bid to lure consumers who are looking for other entertainment options, including streaming of films and music.

Read more at Daily Variety

Is Kinect the future of Xbox?

So now we know the name of Project Natal. Andnow we know the games. Kinect is on a collision course with retailers, and with it, Microsoft is making a big gamble on the future of Xbox.

Personally, I’m a little scared.

Read more in this month’s Official Xbox Magazine (pdf)

The 360’s big show

From the Cirque du Soleil-infused unveiling of Kinect to a solid game lineup for 2010-2011 to the unexpected announcement of a redesigned Xbox, Microsoft had no shortage of surprises at June’s E3 convention. It was, in fact, something of a challenge to keep up with it all. On a macro level, though, their new Xbox 360 offerings can be broken down into four easy-to-digest categories, each with its own level of appeal and promise.

Read more in this month’s Official Xbox Magazine (pdf)

Microsoft reintroduces the world to Milo

When Microsoft announced the Xbox 360 motion sensor controller that’s now known as Kinect, the demo that had everyone talking was Peter Molyneux’s “Milo”. Shown in a video (and, later, via a select number of live demonstrations), the onscreen 11-year old boy interacted and chatted with a human player and showed remarkable artificial intelligence.

Milo’s been silent since then, but Molyneux brought him back out recently at the TED conference. A video of his presentation at that event has just been released and it’s worth 10 minutes of your time.

Read more at Variety’s Technotainment blog

Video Game Sales in July: Better, but Still Struggling

Video game sales weren’t quite as bad as some analysts were expecting in July, but the industry once again failed to match its performance of last year.

Software sales fell 8 percent last month to $403.3 million, according to the NPD Group. Hardware sales, as expected, proved the bright spot and were higher for the second month in a row, surging 12 percent, but it wasn’t enough to save the overall industry from another month of negative year-over-year growth. On the whole, the games industry was 1 percent lower than last year.

Read more at CNBC.com

July game sales disappoint – kind of

Those hoping the video game industry could turn around its fortunes in July got their wishes – sort of. Sales of video game software were down 8 percent last month to $403.3 million. The industry as a whole was off 1 percent to $846.5 million. 

Those numbers, however, did not include sales of “Starcraft II,” which was a PC-exclusive title. (NPD’s monthly numbers only track console sales.) Combined sales of PC and console games were actually up 4 percent over the 2009 numbers.

Read more at Variety’s Technotainment blog

Sony’s Trojan Horse Sneaks up on Microsoft

Microsoft has known for a while that the trick to getting the Xbox 360 integrated into people’s living rooms is to load it with non-gaming features.

It’s a strategy that was worked well for the company. Family members that don’t like video games can still find plenty of other entertainment options on the console. Now, though, Sony is quickly following suit – and expanding on those features – which could give it an advantage as the industry prepares for a crucial holiday season.

Read more at CNBC.com

Digital Downloads Encroach on Brick and Mortar Territory

Digital distribution has been a hot topic in the video game industry for years – with developers, publishers and retailers trying to forecast when it will become a real threat to traditional brick and mortar stores.

New data, however, shows that time might be closer than many were expecting.

Read more at CNBC.

Kinect sets its price

Microsoft on Tuesday announced that Kinect, its new gesture-recognition controller for the Xbox 360, will retail for $150 when it hits stores Nov. 4. That is in line with what the gaming world was expecting — but it may make the launch of the long-awaited system a bit less spectacular than people were hoping.

The company says the chief goal of Kinect is to attract new users to the Xbox 360. To achieve this, Microsoft will also offer a larger bundle, which includes an Xbox 360 (with 4GB of storage), a Kinect and “Kinect Adventures” for $299.

Read more at Daily Variety

Kinect price: $150

Looks like the rumors were pretty much spot-on when it came to Kinect pricing. Microsoft has announced that its new gesture-recognition peripheral will retail for $150 when it hits stores this November. That price will include a bundled version of the “Kinect Adventures” game.

Microsoft’s main focus with Kinect is to attract new users to the Xbox 360, so it will also offer a larger bundle, which includes an Xbox 360 (with 4GB of storage), a Kinect and “Kinect Adventures” for $299.

Read more at Variety’s Technotainment blog