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Microsoft: For two decades, Microsoft succeeded to lead the office and personal computer software market. Its next target, highlighted by its presentations in the CES show and 3GSM World Congress, is clearly the entertainment market. Convergence between computing, multimedia and telecom is on the road, and the PC, combined with broadband internet access, has become a true multimedia platform. Downloading digital content is the new path to access information, culture and entertainment. Microsoft does not want to miss this opportunity, and of course wants to be part of main sub-segments: content (i.e. with potential deal with Sony to provide digital music), network (with deals with operators such as BellSouth, SBC, Verizon, T-Mobil, BT, BCE, ….and with vendors such as Alcatel,  Nokia, ..) and CPE market (mobile devices and living-room appliances). Microsoft is basically attracted by mass markets, and recent initiatives follow this way. After years struggling for credibility and to enter the carrier world, Microsoft gained a significant footprint in it with its IPTV solution. Its recently announced Connected Services Framework (a new service creation platform) is focused to accelerate new services deployment for carriers and could gain traction in the carrier world (i.e. BT testing it). The Xbox, the MDA IV (a PDA) and the Peabody platform (a smartphone) are part of its offerings in the devices and home appliances, but not the last, be sure. Will Microsoft go alone? Probably not for a while. For improving its position and developing consumer demand as well as carrier demand, it needs to aggregate competences/ expertise (such as with Alcatel in IPTV) and participate to a consensus on open interfaces and protocols.

The next battle is the living room media center: a mix of PC, HiFi stereo device, camera, TV set, PVR and VRC, STB and VOD unit. And Microsoft is already in a battle array!