Microsoft chairman Bill Gates last night called the early success of its Xbox 360 game console a role-reversing change of fortune for the company as it seeks to overtake market leader Sony.
Mr Gates also announced Microsoft would offer an Xbox 360 that doubles as a set-top box for its fledgling Internet television (IPTV) service.
Microsoft chairman Bill Gates at the 2007 Computer Electronic Show in Las Vegas, yesterday.
The Xbox 360, Sony's Playstation 3 console and Nintendo's Wii game machine are locked in a battle for leadership in the $30 billion global video game market.
Sony and Nintendo came out with their offerings in November, a year after Microsoft introduced the successor to the first Xbox.
Having beaten its target to ship more than 10 million units by year-end, Microsoft said Sony, which dominated the last generation of consoles with its Playstation 2, is the one playing catch-up.
"It's a complete reversal of last time," Mr Gates said. "Last time, we tried coming in a year late with a big, clunky box that cost more and having less titles. We tried that and it's not that much fun."
Sony has had an firm grip on the video game console market with its two previous Playstation models - combined unit sales of which have hit more than 200 million globally - but its launch of the PS3 was beset by delays.
Earlier, Sony said it met its goal of shipping one million PS3 consoles to North America by the end of 2006, but did so by diverting some units earmarked for Japanese consumers.
The PS3 retails for as much as $600 in the United States versus about $400 for the Xbox 360 and $250 for the Wii.
Despite the price tag, Sony said it reached the one-million-unit shipment mark for North America faster than it did with previous Playstation consoles.