Xbox Live Reaches 4 Million Subscribers

Posted by jgaudiosi :: Digital Distribution

XboxliveWhile demand and sales of Microsoft's Xbox 360 are not meeting expectations, Microsoft's head-start in the online world is paying off. Back when it launched Xbox, Microsoft invested millions of dollars on its Xbox Live online gaming service. That subscription service has now reached 4 million members. Xbox Live is currently available in 24 countries and is expected to reach 6 million members by summer 2007 as more consumers purchase Xbox 360. That console comes with a free silver subscription, which does not include the ability to play online games.

There are currently 2,000 pieces of gaming and entertainment content on Xbox Live. Gamers have downloaded over 70 million pieces of gaming and entertainment content from Xbox Live Marketplace in its first 11 months. While much of this content, including game demos, movie trailers and music videos are free, there's a growing number of consumers who are paying for digitally distributed content.

Xbox Live Arcade has now surpassed 12 million downloads in less than a year.  The popularity of Xbox Live has driven major publishers and independent game developers to submit more than a thousand Xbox Live Arcade game concepts to Microsoft for review. Xbox Live Arcade games average a 24 percent trial-to-purchase conversion rate with "UNO" reaching a trial-to-purchase conversion rate of over 50 percent. Since the launch of Xbox Live in November 2002, gamers have spent more than two billion hours on the network playing games online with their friends around the world. 

Microsoft recently shipped the Xbox Live Vision Camera, which retails for $40. This device allows gamers to insert their face into games like "Tom Clancy's Rainbow Six Vegas" and also see their competitors online. Over 9 million text and voice messages are sent via Xbox Live every week. Now gamers will be able to see their competition.

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