Microsoft’s Kinect, Office 2010, Windows 7 Will Determine Its 2010

KinectMicrosoft has begun pushing Kinect, a hands-free gaming device whose three-dimensional camera allows players to control their Xbox avatars through body movement.

Xbox 360Microsoft hopes the Kinect will help the Xbox 360 challenge the Nintendo Wiis lock on casual gaming and innovative controllers. Sony is also planning a motion-based controller for release later this year.

Consumer BusinessMicrosofts Entertainment and Devices division contributed 11 percent of Microsofts $14.5 billion revenue in the first quarter of 2010. The company hopes new consumer items like Kinect will help maintain or increase that percentage.

Non-Traditional GamesBy including non-traditional games that promote things like fitness, Microsoft could potentially increase the audience for the Xbox 360.

Kinect Dance GameA Kinect dance game being played by a group.

Kinect CameraThe Kinects camera plugs into the Xbox 360 console and uses its camera to track 48 points of movement on the users body. The device will likely retail for $150, once released later this year.

Zune HDAlthough the Zune HD never managed to gain substantial traction in the portable-media-player market, its software is finding its way into Microsoft products such as Windows Phone 7.

Office 2010Microsofts fortunes in 2010 also depend heavily on business and consumer adoption of Office 2010.

Office 2010 Preinstalled To increase its rate of adoption, Microsoft is offering Office 2010 preinstalled on its partners PCs, unlockable with a product key card. Users can also download the software suite.

Office Web AppsWhile the new Office Web Apps offers stripped-down versions of OneNote, Excel, Word and PowerPoint, Microsoft is reserving many of Office 2010s higher functions for the desktop-based version.

Windows 7Windows 7 has sold more than 90 million licenses since its October 2009 debut. Microsoft is depending on continued strong sales of the operating system to help its overall bottom line.

Laptops and PCsMicrosofts manufacturing partners are offering laptops and PCs in a variety of form factors-and designs-in an attempt to reignite hardware sales after a long global recession.

Netbooks Microsoft and its partners also seem to be pushing a wide variety of form factors, including netbooks and desktop-replacement laptops.

Halo: ReachXbox games such as the upcoming Halo: Reach are designed to appeal to more hardcore gamers.

Xbox 360 SlimMicrosoft has begun marketing an Xbox 360 Slim in a bid to increase the franchises longevity.