Ballmer discusses Xbox's "broader concept"

C|Net | at | by Mike

Microsoft's Xbox video game console is part of a "broader concept," the software giant's Chief Executive Steve Ballmer said Thursday, hinting at an oft-guessed-at strategy by the company to turn the machine into a wired entertainment hub.

Microsoft originally intended to pitch an all-in-one device that could handle games, interactive TV and computer functions, but that concept was slapped down by software makers, Ballmer told analysts at an investment conference in Phoenix.

"We went and said, 'Hey, we have some ideas for an all-purpose box, kind of a PC, kind of a video game machine, kind of a set-top box.' You know what they said? They said, 'Get outta Dodge, we're not going to write software for that thing,'" Ballmer said.