LOS ANGELES — June 2, 2009 — The future of home entertainment has a new name: Xbox 360. Today, Microsoft Corp. opened the Electronic Entertainment Expo (E3) with a historic Xbox 360 briefing that rocked, tweeted, revved and awakened the world to a new era of fun and entertainment. In addition to premiering 10 exclusive new games, revolutionising the way we watch movies, and making it easier than ever to connect to friendsXbox also welcomed visionary filmmaker Steven Spielberg to introduce “Project Natal” and controller-free gaming.

“Today with cultural visionaries at our side and controller-free gaming on our horizon, Xbox 360 authored a new page in home entertainment history,” said Don Mattrick, senior vice president for the Interactive Entertainment Business at Microsoft. “For us, this E3 is about breaking down barriers — between generations, between games and entertainment, and most importantly, between video game players and everyone else — in a way that only Xbox 360 can.”

“Project Natal”: No Strings (or Controllers) Attached

Unveiled for the first time to the public was “Project Natal,” pronounced “nuh-tall” a code name for a revolutionary new way to play: no controller required. See a ball? Kick it, hit it, trap it or catch it. If you know how to move your hands, shake your hips or speak, you and your friends can jump into the fun. The only experience needed is life experience.

Compatible with any Xbox 360 system, the “Project Natal” sensor is the world’s first to combine an RGB camera, depth sensor, multi-array microphone and custom processor running proprietary software all in one device. Unlike 2-D cameras and controllers, “Project Natal” tracks your full body movement in 3-D, while responding to commands, directions and even a shift of emotion in your voice.

In addition, unlike other devices, the “Project Natal” sensor is not light-dependent. It can recognise you just by looking at your face, and it doesn’t just react to key words but understands what you’re saying. Call a play in a football game, and players will actually respond. Want to log onto Xbox LIVE? Simply step in front of the sensor.

“The next step in interactive entertainment is to make the controller disappear,” said Steven Spielberg, visionary director and producer. “With ‘Project Natal,’ we’ll see games that bring everyone together through technology that actually recognises us.”

Movies in an Instant

Continuing a pioneering effort that began with the introduction of the industry’s first video marketplace in November 2006 and broke new ground with the announcement of the first live TV straight from a gaming console last week in the U.K., Microsoft today announced that Xbox would deliver yet another first-to-the-world: instant on 1080p movies with 5.1 surround sound — direct to consoles connected to compatible HD TVs through the Xbox LIVE social entertainment network. The service also scales to suits different broadband speeds so there are no interruptions to movie viewing*.

Starting this spring, a broad selection of movies will be available to start and stream instantly, in the highest video quality and at the push of a button1. 

No discs, no waiting for downloads and no delays. Get the selection of a video store, the best video clarity available and the convenience of on-demand, only on Xbox 360.

In addition, Microsoft announced it will more than double the number of markets where Xbox LIVE offers  movies, growing from eight to 18, by adding Australia, Austria, Belgium, Denmark, Finland, Netherlands, New Zealand, Norway, Sweden and Switzerland. Xbox LIVE members in these markets will have access to instant on 1080p video 1.

The Best of the Internet, Custom-Made for Your TV

Groove, party or connect with a friend. Xbox 360 today announced that one of the Internet’s biggest phenomena — Facebook — would be tailor-made for your TV, brought straight to your couch only on Xbox LIVE. “We are always asking ourselves how to make the TV more social,” said John Schappert, corporate vice president of Interactive Entertainment LIVE, Software and Studios at Microsoft. “By bringing Facebook to Xbox LIVE, we’re not only extending the walls of your living room beyond your home to your friends in different corners of the world, we’re creating the definitive social network, uniting more than 200 million people to share status updates, pictures, thoughts on music and the world’s best online gaming experience.”

The addition of Facebook to Xbox LIVE means friends are always connected, anytime, anywhere — from virtually any couch. But updating your status and sharing photos won’t be the only things you can do. Using Facebook Connect, you can share your greatest moments in gaming by posting updates and screenshots from supported games directly to Facebook. Don’t let your moment of glory fade away — make sure everyone sees it with Facebook Connect, starting with the future version of the premier EA SPORTS golf franchise “Tiger Woods PGA TOUR®.”

Games for Everyone

Get behind the steering wheel of the sleek Audi R8. Rock out with your friends to the latest music and party games. Discover a new chapter set in the iconic universe of “Halo.” Xbox 360 has the most celebrated, highly anticipated games and experiences in the industry. With more than 1,000 titles to date, there’s more than just one for you.

·         Get behind the wheel. Hit the straightaway in more than 400 cars on the world’s most beautiful tracks in the definitive racing game for this console generation, “Forza Motorsport 3.” Or get your avatar in the driver’s seat as you tear up the track with your friends in “Joy Ride.”

·         Adrenaline-rushing exclusives. Xbox 360 is your top destination for the biggest exclusives this year and beyond, including “Halo 3: ODST,” “Crackdown 2,” “Alan Wake,” “Tom Clancy’s Splinter Cell Conviction™” and “Left 4 Dead 2.”

·         Tap into your inner musician. Discover the magic of music and The Fab Four with “The Beatles: Rock Band” or start a spontaneous singing party with “Lips: Number One Hits.”

·         The best blockbuster experiences. Pairing must-have titles such as this year’s blockbuster from Infinity Ward, “Modern Warfare 2,” with Xbox LIVE, Xbox 360 offers more friends to play with and an exclusive collection of Game Add-ons.

1 Users will need a 1080p-compatible HD TV, an HDMI cable and broadband speeds greater than 8 Mbps for instant viewing at 1080p and 5.1 surround sound. The service accounts for varying broadband speeds, using multibit streaming to adjust image quality to suit the user’s connection so there are no interruptions to the movie they are watching.