Microsoft (MSFT) Attacks The Living Room Through The Back Door

Microsoft (MSFT) has been trying for years to get consumers to use its software to bridge the digital divide between their PCs and TV. The latest attempt is the company’s Media Center. There is little evidence that it has sold well.

Almost by accident, the world largest software company has discovered another conduit to the TV–the Xbox 360. Microsoft has launched a new service called Xbox LIVE Marketplace. The purpose of the new operation is to allow Xbox users to have access to movies and TV shows, some for free and others for a modest price. As one industry executive told The New York Times: “We need to find viewers wherever they are,” said Michele Ganeless, the executive vice president and general manager of Comedy Central. “Some of them are firing up their Xbox rather than their cable box. They have so many entertainment options. Being on Xbox is a perfect way for us to reach them in their own environment.”

Microsoft claims that revenue from the service is rising at double digits month over month, It also say that over 400,000 copies of an HDTV version of South Park where downloaded recently.

Big marketing dollars and sophisticated software could not help Microsoft in the home, but the Xbox has worked.

Better to be lucky than good.

Douglas A. McIntyre can be reached at [email protected].