Microsoft Reportedly Spending Half a Billion Dollars on Kinect Campaign

As was already revealed by Microsoft as part of its Kinect launch games announcement, the company has managed to secure important Kinect appearances on both Oprah and Ellen DeGeneres as it looks to reach out to a very wide, mainstream demographic (similar to the Wii). That's just the beginning of the campaign, however, as Microsoft is spending around $500 million to ensure that Kinect hits the ground running.

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panasonic232589d ago (Edited 2589d ago )

I don't know why MS are not spending that money to beef up their 1st party studios.

Just take out 8 billion dollars and purchase

Epic Games
Take Two

GWAVE2589d ago ShowReplies(10)
niceguywii602589d ago ShowReplies(9)
TreMillz2589d ago

And im pretty sure Sega nor Take-Two and Epic would agree to be bought out by a publisher who would be exclusive to one platform. Hence why T2 considered the deal eith EA till they saw it was only a lousy 2 Billion dollar deal. Theyre worth at least 5.

TotalPS3Fanboy2588d ago (Edited 2588d ago )

they didn't spend some of those money on making sure Kinect actually works.

Philoctetes2589d ago

For whatever reason, Microsoft made the decision to rely on third party developers. It sucks for 360-only gamers, but hey, it worked out for Microsoft financially.

And of course Kinect is getting a huge marketing push. This is very similar to launching a new console. Kinect may not be the XBox 720, but it's at least the XBox 540. They're reaching out to the casual market, and breaking into a new market means a lot of money in advertising.

Charazani2589d ago

Given that Epic owns Unreal Engine, and Take Two owns the rights to arguably one of the biggest IPs in the world. With SEGA's brand name and Mistwalker (not really a huge factor here though) on top of that. I would assume collectively that is worth way way more than $500 Million.

The Wood2589d ago (Edited 2589d ago )

how can any gamer disagree with that.

Wouldn't people prefer more games over better marketing....This gen has gone anal if people prefer funds to be spent on marketing and advertising more than actual games. I understand that M+A is needed in order to let the masses know but c'mon man, surely its still about the games for us. We dont get any monetary gain by games selling 4 or 5 million. Ask any of these devs to pay your rent or give you a free game because you've lost your job. Our gain is games...the more the better.

RageAgainstTheMShine2588d ago (Edited 2588d ago )

come on N4G this should be a 1000 by now.

come on lets blow up some cover

Sony>>>>>>& gt;>>>>>>> >>>>>>>> ;>>>>>>>&g t;>>>>>>>& gt;Nintendo>Microsoft

Longrod_Von_Hugendon2589d ago

Because they don't care about you the gamer they only care about their bottom line.

klashawnd2589d ago

I don't knock MS for spending their money, it's their money who am I to tell them what to do with it. But Kinect is still an expensive peripheral. If anything, why not refine Kinect some more and then bundle it with the Xbox 720 when it comes out in a few years. Kinect plus all the bells and whistles that the 720 is sure to have would make the entire Xbox console seem fresh and unique. Plus with Kinect bundled with every 720, you are guaranteed tens of millions in terms of install base for the Kinect. Then developers would have no choice but to make compelling games that best utilize the technology. MS is thinking short-term when it could do much better if it thought long-term and used that half a billion dollars on new IPs or at least something more worthwhile than a $150 peripheral.

iPad2589d ago


With that money, you can buy a whole bunch of studios and more important things

tinybigman2589d ago

i would have rather you'd spend that on some studios(created/purchased) than shovelware. M$ you seem to be making it very easy for me not to play your system next year other than Gear 3. why M$ why can't you use the money better then for shovelware?

+ Show (8) more repliesLast reply 2588d ago
donniebaseball2589d ago

@panasonic23, yeah that's a fair point. Their internal development is very weak compared to Sony. They should acquire some more developers.

Shaka2K62589d ago Show
visualb2589d ago

but this is a little much...=|

then again, its MS, they swim in money they cn spend all they want =)

lets see if kinect is worth this investment

karl2588d ago

well i would say this is the MS xbox division

if they were allowed to spend 50 millions... and even more considering games the development of kinect etc...

well.. if they dont succeed, i cant image whats gonna happen to them.

dont know how the actual MS would react

drsnobby2589d ago

You have to spend money to make money.500 million is a drop in the bucket for MS.ADVERTISING IS A COMPANYS BEST FRIEND

nickjkl2586d ago (Edited 2586d ago )

idk man even if kinect sold for 200 dollars each they would still need to sell over 2.5 million to break even and thats implying that the stores selling kinect and people who deliver kinect to the store dont get paid and even then they still have to make the money back from researching and developing kinect

and i dont see 2.5 million kinect of kinect being sold especially with the current news of it not working properly

hoops2589d ago

The art of advertising when you have huge cash lol

Motorola2589d ago

Sony arent just computers and gaming systems. They are almost anything electronic entertainment basically, so they cant afford to spend that much on ONE section of their corporation..Good for Microsoft but half a billion? Wow ok.

harrysmith2589d ago

........that is how much it costs 2 brainwash people then? L0L

jukins2589d ago

lol with that amount of money being spent i agree its not advertising but hypnotizing. sad thing is these soccer moms who watch ellen and oprah will no doubt become enamored with kinect and think its the greatest thing ever as they show off the fitness and dance games

hoops2589d ago

Thats exactly the target market and why its going to sell huge. The average xbox360 owner wont buy this at this point because of the games....but the soccer moms and non gamers will. The Wii demographics. This was MS plan all along.
And its going to work and piss off alot of people on N4G.COM

ImpartialMan2589d ago

there would be absolutely no reason to advertise so much

2589d ago