Microsoft says Xbox Live TV will help cable companies, not destroy them

Microsoft’sXbox Live TV looked like a clear cable competitor when it was rolled out at this year’s E3, but according to its Interactive Entertainment Business CFO Dennis Durkin, the mega-tech company has no intentions of making a direct play for the cable or satellite market with Xbox Live TV or any of its online entertainment products. Quite the opposite, Durkin toldIndustry Gamers (opens in new tab)it’s Microsoft’s intention to partner up with with its alleged opponents and help them do better business.

“Basically, we’re partner friendly as it relates to their business model,” explained Durkin. “We’re not trying to compete with them. We’re trying to enhance the services that they offer for their customers.”

Microsoft has already formed working partnerships with pay-TV operators across the globe like BskyB in the UK, Canal+ in France’s, Foxtel in Australia, and ESPN in the US (ESPN3). Durkin said these are just a few examples of how Xbox Live can provide media clients with the means to enhance their services using Xbox Live’s online communityand motion sensing features, explaining, “They look at those as unique things that they can now bring to their customers…We’ll both support each other’s businesses in very positive ways. And we’ll continue to do that. So we’re very partner friendly as it relates to that.”

No doubt, Xbox Live is an multi-tasking entertainment beast, what with all its Netflix, YouTube, Zune and Hulu resources.Adding Xbox Live TVto the mix, one wonders if Microsoft is genuine about making friends, or just biding its time before it’s ready to strike out alone.

Jul 14, 2011

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