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SEROPIAN I’m not going to lie, there were economic motivations. But you know, our stage had always been the smaller stage in the gaming industry, and here was the idea that we could be a flagship title—and yes, a lot of things had to go right for that to happen. FRIESPeter Tamte gave me a call out of the blue, just a few months after the Valentine’s Day Massacre, at a time when I was really just starting to look harder around the industry for content. And he told me that Bungie was in kind of financial difficulties. MCBREEN We actually had Nintendo in our building in January 2000 to work through the details of a joint venture where we gave them all the technical specs of the Xbox. The pitch was their hardware stunk, and compared to Sony PlayStation, it did.

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BACH They’re rehearsing how we’re going to do the reveal of the box itself. And they had created this contraption, where the box sort of popped up out of the middle of the stage and revealed itself, and it was sort of a bad permutation of a Jack in the Box. The first time we showed it, Bill said the equivalent of, “What the F was that? We ultimately just put it on stage in a glass container with a cloth over it.

Still riskier was the team’s decision toadd a high-speed internet connection, the first console with that capability built-in, even though the service that used it wouldn’t launch for another year. Then we also had to figure out the manufacturing strategy. And then we had to figure out component-sourcing strategy, all at the same time. RPG Games TODD HOLMDAHL The team was less than 20 people altogether that moved over with Rick Thompson. Meanwhile, the hardware team needed to figure out how to turn the prototype Bill Gates teased at GDC, a big silver X, into a product they could mass produce. A month later, Thompson resigned, citing concerns about the project’s costs. A non-working model of Microsoft’s XBox game console sits on display at a news conference in Tokyo on March 10, 2000.

So the idea was, “Listen, you’re much better at the game portions of it with Mario and all that stuff. TOMONOBU ITAGAKI (creator of Tecmo’s Dead or Alive game franchise) Microsoft introduced an architecture that is very similar to PCs and made that style as de-facto standard in the industry. That is a huge contribution because it made game development much easier. BALLMER I came into that meeting sort of as my first big CEO decision. BACH I’d been there, at that point, 12 or 13 years and been told I was a knucklehead at least five or six times. It was just kind of the way the company communicated.

But nobody really knew what was going to happen at launch. SEROPIAN There was definitely a point where I felt like the game was going to be very good. It was going to be a game we could definitely be proud of. We were in temporary quarters in Redmond, right next to the Expedia people. We built our own space, and we said, “We’re going to have electronic locks that only Bungie people can open.” We didn’t even let Ed have a key.

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MATHIEU FERLAND(producer of Ubisoft’s Splinter Cell game) We’d entered into a new philosophy. Usually, when you are shipping a game, the box is shipped, everybody’s on vacation, and we’re thinking about the sequel. But because of Xbox Live, we had this incredible opportunity to come up with extra content. Xbox Live pioneered the idea of selling downloadable content after a game’s release. Again, EA was a holdout, expressing concern about Microsoft’s monopolistic tendencies. And so the idea that you were going to have millions of people talking to each other online, where the conversation is as important as the game, was a new idea.

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They expected a routine meeting, but it quickly became evident their bosses were not convinced of the plan to invest large sums of money in a console without Windows software. Making matters worse, the team had forgotten to carry out one crucial pre-meeting ritual.

Step 2: Preview Recovered Media Files

Nine senior employees gathered in the executive boardroom at 4 p.m. Most had dinner plans with their partners that evening.