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Robbie Bach is president of the Microsoft Entertainment and Devices Division where the Microsoft Xbox and Zune were developed, and which has not yet turned a profit. Bach said in an interview that profitability is near, and Microsoft is eager to catch up with such companies as Apple, Sony, Nintendo, and Research In Motion. These are all leaders in the digital world, where Microsoft's vision is of connected computing, where devices such as phones, music players, and game consoles increasingly define how people interact with computers. Bachs role is pivotal because one of the keys to Microsoft's future is what the company calls connected entertainment, where media should be accessible on any device, whether PC, Xbox, Zune, phone, or something else that works in the user's location. Microsoft has used assets from throughout the company and put them into the Entertainment and Devices Division. Microsoft has a strategy that depends on software and services, and it also has a competitive edge in the video, music, gaming, and mobile arenas. Mr. Bach answers questions regarding profitability, Microsoft's competition with Sony, Apple, and RIM, the price and network choice limitation of the Cingular-only Apple iPhone, and the progress of Zune, including new offerings to become available in the fall.
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