The Xbox video game console represents Microsoft's first venture into the video game market, and is the company's attempt to siphon off market share from popular brands like Nintendo, Sega and Atari. Xbox's CD and DVD play capabilities have enabled the console to be used not just for games, but also as a jukebox and movie player. As a result, Microsoft's Xbox console group is working on multiple fronts to accelerate its involvement with various music entities.

In particular, Microsoft is ramping up chain-specific promos for the holidays, working with music labels to share plans on videos, promotions, individual concerts, and venue tours. The company had a major hand in a recent Lollapalooza tour, and is readying the release of a Music Mixer accessory for Xbox. In addition, Microsoft's developers are creating games to feature original music by major and up-and-coming artists.

Music and movie retail channels will be key for Xbox as the video game industry continues to integrate music features into the games themselves. Microsoft is hoping that exploring alternate channels for its game console will turn out to be a strategy that rocks-literally.