In the face of escalating game development costs, expanding teams and ever more complex hardware technologies, Microsoft Corp. today delivered a pre-release version of the first XNA Studio tools and unveiled the XNA Framework to attendees of the Game Developers Conference 2006 in San Jose. Microsoft also announced that the company is opening its Xbox Live Server Platform to game developers and publishers, allowing them to innovate and extend the Xbox Live experience in their titles.
 
This community technology preview (CTP) represents the first public opportunity for game developers to get their hands on key components of XNA Studio. Included in the CTP is a pre-release version of XNA Build, which delivers mechanisms for orchestrating, debugging and optimizing the game build pipeline. XNA Build also provides studios with a foundation that helps them easily identify game asset relationships and dependency information to unlock a wealth of benefits, ranging from incremental content builds to assistance in identifying orphaned or unused content. Tools such as XNA Build enable game developers to spend less time building and maintaining their internal tools infrastructure, and more time creating great game experiences.  
 
The XNA Framework contains a custom implementation of the Microsoft. .NET Framework and new game-development-specific libraries designed to help game developers more easily create cross-platform games on Windows and Xbox 360 using the highly productive C# programming language. Using the XNA Framework, game developers will benefit from the ability to re-use code and game assets in developing multiplatform titles, without sacrificing performance or flexibility.
 
In addition to XNA Studio, Microsoft today announced further enhancements for extending Xbox Live services with the Xbox Live Server Platform. Using this platform, developers can create their own back-end servers to run alongside Xbox Live. Developers will get firsthand experience with this update which provides easier-to-manage and more scalable technology on Xbox Live in the next Xbox Development Kit, expected in May.  
 
By opening the Xbox Live Server Platform, Microsoft provides developers and publishers with the tools and environments they need to create all-new online game experiences, and delivers the benefits of an open platform for innovation while providing the solid foundation of the full-featured Xbox Live service. Developers will be able to tap into real-time Extensible Markup Language (XML) feeds to update things such as weather, rosters or other changing information. The Xbox Live Server Platform can also be used to support the creation of massively multiplayer online game worlds. In addition, it will serve as the enabling technology for game developers to unleash their creativity to bring a steady stream of fresh ideas to the Xbox Live gamer community.  

In a bid to capture the huge audience for handheld entertainment gadgets, Microsoft is designing a product that combines video games, music and video in one handheld device, according to sources familiar with the project.
The Microsoft product would compete with Sony, Nintendo and Apple Computer's products, including the iPod. And Microsoft has some of its most seasoned talent from the division that created its popular Xbox 360 working on it. Game executive J Allard leads the project, and its director is Greg Gibson, who was the system designer on the Xbox 360 video game console. Bryan Lee, the finance chief on the Xbox business, is leading the business side of the project.
 
In the past, all of Microsoft's efforts to compete have fallen short. The company considered making an ""Xboy'' game player a few years ago but shelved the idea. It considered making a game handheld at the same time it devised plans for the Xbox 360 in 2002 and 2003, but it again decided to delay its entry.
 
Meanwhile, Microsoft's efforts in PocketPC handhelds and Portable Media Players have fallen short in competition with the iPod. Last week, Microsoft unveiled Project Origami, a handheld Windows computer. But that device isn't targeted on pure entertainment as the Xplayer is. The existence of these other projects suggests that there is still some infighting within Microsoft about its best approach to portable gadgets.
 
The handheld project is still in its early stages. Microsoft is still figuring out which strategy to pursue in music technology, according to sources familiar with the matter. The code name for its music service, which would be the equivalent of Apple's iTunes, is "Alexandria.''
One benefit of waiting longer is that the handheld will likely have sufficient technology in it to run a lot of original Xbox games from a few years ago. Hence, it wouldn't be hard to create a new library of games for the handheld.
 
What remains to be seen is when Microsoft will launch the device. Gibson may not need a large engineering team to run the project. But his group of hardware engineers only became free last fall, when most work on the Xbox 360 was completed.
It could be 2007 before the device hits store shelves. That gives rivals such as Sony, Nintendo and Apple considerable time to consolidate their position and come up with their own new gadgets in the meantime.

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