November 14, 2005
@ 06:16 PM

Due to Windows Live, a bunch of us at MSN (the Windows Live division?) have been inundiated with lots of internal marketing and presentations around branding. One thing that this has convinced me of is that we (Microsoft) are totally inept when it comes to branding. The fact that till today nobody can quite answer What is .NET? (a managed runtime? server software? web services? all of the above?) is a testament to our generally cluelessness in this area. I sincerely hope the same thing doesn't happen with "Live" but only time will tell.

On a related note, for some reason I've had a couple of idle lunchtime conversations with different people on what they think about XBox. Somewhat surprisingly to me, many employees at Microsoft are quick to deride MSN for being a "money losing division" even though we are now profitable but yet in the same breath have nothing but praise for XBox which is billions of dollars in the red. When I've probed for reasons for this disconnect, the answer has been usually one of either (i) it was a "big bet" to get Microsoft in the living room or (ii) it adds something cool to the Microsoft brand. The latter is what I find interesting. Since people started mentioning this I've started paying attention to mentions of Microsoft in XBox ads and websites. 

What I've noticed is that there is little mention of Microsoft when it comes to XBox. If you visit http://www.xbox.com/en-US/, you have to scroll down before you see a mention of Microsoft and even then it's in the small print. TV spots for XBox 360 such as Jump In and Water Balloons don't mention Microsoft at all. Why not? My pet theory is that the guys behind XBox know the truth. XBox is cool. Microsoft is not. Thus mentioning Microsoft in XBox ads would actually taint their brand. Of course, if I'm right there goes the theory of a bunch of my coworkers about XBox boosting the "cool factor" of the Microsoft brand.