Microsoft announced that yesterday was the "biggest day in entertainment history" with over $170 million worth of Halo 3 sold for XBox in the first 24 hours, beyond even movie blockbusters like Spiderman or books like Harry Potter. Granted, a copy of Halo costs nearly $60 but the announcement points to a successful marketing strategy. That strategy is known as "platform exclusives" and it can make or break a new product. Many Mac diehards cringe when Halo is mentioned…it is the one clear example of Microsoft out-marketing Apple. Here is the short story:
One of the best games ever for the Mac was a little product known as Marathon from a little company known as Bungie. Keep in mind that Steve Jobs did NOT want the Mac to be a gaming
system for he feared it would not be taken seriously by business users
who were the target audience way back in 1984. As a result the Mac suffered (and continues to suffer) from not having great games, and very few exclusive games. But, at the MacWorld 1999 tradeshow during his keynote, Steve Jobs introduced the follow up to that Bungie hit, another Mac-only game simply called Halo.
It was a ground breaking demo – the effect being that the Mac had the power to redefine the PC gaming experience. However, Microsoft was watching the keynote and they were searching for a breakthrough platform exclusive for their yet-to-be-released system, Xbox. So on June 19, 2000 Microsoft acquired Bungie and in one fell swoop killed the Mac version, got the killer app they were looking for, transferred the buzz into interest in their system, blocked the Mac from encroaching on the PC’s territory as a gaming system, and stuck it to the Mac faithful who were waiting for Halo for more than a year.
Now Halo eventually got ported to the Mac, but that’s not the point. This is an example of drafting the momentum of a rival, and it is fair game in the sales and marketing world. I’d like to hear from readers about other examples they know about – either done to them or by them. If I get some good responses – say 5 or 6 – I’ll use my next few posts to tell you another true story about Apple getting outfoxed that has never been told before…
Steve-
I’m trying to think of another example but it eludes me now. However, I don’t think MS move as strategic as you make it sound. Simply, they couldn’t come up with their own breakthrough product so they bought one. It’s amazing how brilliant someone can look if they have enough cash in the bank.
Personally, I’m windering what Apple is doing with all the cash it has accumulated. It’s been discussed/advised/mentioned on many of the Mac-centric sites that Apple should have bought Adobe and made Photoshop a Mac only product. How would MS feel if Flash was now Mac only??? Several years ago, Palm was the center of these discussions.
I’m sure the guys in Cupertino have their reasons for not doing these things but Apple could buy a decent game company and start developing their own titles. The days of “business” versus “personal/consumer” computers are over. Gaming is as mich a part of the entire experience as texting, blogging and googling.
I want to see Apple make some big aquisitions and start ruling the roost every once in a while. I don’t advocate them turning the tables and excluding non-Macs but it would be nice to see some titles get equal treatment regardless of platform.
Vista is taking care of MS by itself. How putting some bucks into iCal and making it a really robust time/calendar management tool.
I’ll try and come up with another exmaple as well. I’m looking forward to your secret story.
Barry