Microsoft sells Mediaroom, switches focus to Xbox TV

Microsoft has sold off its IPTV platform Mediaroom to Ericsson and revealed plans to dedicate “all TV resources to Xbox”. Mediaroom, which enables pay TV operators to deliver their services to multiple screens and connected devices, was sold for an undisclosed fee, but Microsoft labelled the deal “mutually beneficial and strategically aligned for both parties”.

In a blog post, the company said the acquisition allows it to “commit 100 percent of its focus on consumer TV strategy with Xbox”. It added: “With the sale of Mediaroom, Microsoft is dedicating all TV resources to Xbox in a continued mission to make it the premium entertainment service that delivers all the games and entertainment consumers want – whether on a console, phone, PC or tablet.

“It is not a mission that we can achieve alone. We want to partner with the industry to deliver the next wave of innovation in games and consumer entertainment. We will partner with content creators, studios, labels, networks, content aggregators, operators and distributors to make this happen. We believe the future of home entertainment is one where TV becomes more simple, tailored and intelligent. We believe the best is yet to come for this industry. Our vision and energy for the future of entertainment is more focused than ever. Stay tuned.”

In February, Microsoft announced the formation of Los Angeles-based Xbox Entertainment Studios, which looks set to play a key role in expanding the range of non-gaming services and content available on Xbox. The studio is headed up by Nancy Tellem, Microsoft’s president of entertainment and digital media, who also oversees live event programming for Xbox Live. At the time, she said Microsoft would team up with third party content creators, networks and advertisers as it bids to “pioneer the future of TV”.