Travis “L.D.” Murphy Why Did the Xbox Fail in Japan? The sixth console generation was an interesting time in the video game industry. Among other things, it marked the end of the bit wars, the rise of online gaming, and the fall of SEGA from the console market. But in SEGA’s place rose Microsoft with their own Xbox. While the behemoth of a console was unable to shake the PS2’s firm hold on the market, it still managed to edge out Nintendo’s GameCube with over 24 million units sold worldwide. [1] While this victory secured Microsoft’s place as a major player in the console gaming market in the west, the same couldn’t be said for Japan as, despite the company’s efforts, the Xbox barely managed to sell an estimated 450,000 units in the region throughout its lifespan. [2] In fact, on July 18th, 2004 it was reported that even the PlayStation 1, which had been out for almost a decade by that point, outsold the Xbox in Japan too. [3] It’s important to note that Microsoft faced an uphill battle from the very beginning. After all, Japanese companies had a very firm hold on the video game console market ever since the aftermath of the video game crash of 1983. Furthermore, Japan alone represented nearly a third of the market. [4]So, from the early days developing the system, the Xbox team kept Japan close in mind. Then Xbox Director of Third Party Relations, Kevin Bachus, recalled, “We were basically going to play in Sony, Sega and Nintendo's home stadium. As a result, then Program Manager for Entertainment Graphics, Seamus Blackley and I and other people from the team put a disproportionate amount of effort into trying to make Xbox attractive in Japan, but there were a bunch of things that were lined up against us.” [4] [Kevin Bachus - http://images.vg247.com/current//2011/08/kevinbachus.jpg] The feedback the Xbox team received from Japan continually proved to be troublesome. For example, the console’s final design was seen as bulky and inelegant in Japan. Bachus stated, “We thought [the Xbox] would be more like what PlayStation 3 looks like now, something sleek and sexy. For a number of reasons, mostly related to cost, but also partly related to thermodynamics of engineering the box - air flow and the size of components - we just weren't able to do that. The Japanese looked at that and it reinforced the notion [the Xbox] didn't have a Japanese aesthetic.”[4] Other feedback the team received only served to baffle the crew. Ed Fries, the then vice president of Microsoft Game Studios, said, “We were told we couldn’t call it the Xbox because X is the letter of death. We were told we couldn’t make it black because black is the color of death. I was like, isn’t the PlayStation black? Rules that apply to you as an outsider don’t necessarily apply to insider products.”[4] [Ed Fries - http://images.vg247.com/current//2011/08/edfries.jpg] The heaviest criticism was levied against the Xbox’s massive “Duke” controller however. [Example of the Duke’s size: https://static.giantbomb.com/uploads/original/18/187968/2576717-9694816954-23828.jpg] While Microsoft’s domestic focus testing claimed that testers loved the controller’s size, it was loathed by Japanese testers and even the staff of Microsoft of Japan. The Duke’s lead designer recalled Microsoft’s Japanese branch threatening to ward off Japanese developers from making games for the Xbox entirely unless the controller’s design was seriously revised. [5] To quote, “They were telling us, ‘We have no choice. We have to tell developers that this [5] is no good.’” [Denise Chaudhari - https://imgur.com/a/GLeMPYU ] She traveled to Japan to oversee Japanese testers herself in hopes of finding a way to better adjust the controller’s design, but things went nowhere fast. [5] Engadget reports, “Instead, she was told the testers didn't like anything about the Duke whatsoever. It wasn't helpful. She described the trip as one long Lost in Translation moment, where minutes of speech from the testers was boiled down to, ‘Oh, he doesn't like it; it's too big.’” [5] The controller even earned the scorn of many Japanese developers as well. Bachus recalled, “They said, 'obviously this is going to fail. Nobody is going to buy this.' Then they started rethinking their commitments to the platform. They said, 'this combined with the enormous giant console says you really don't intend for this to be successful in Japan.’”[4] Seamus Blackley stated, “There was actually a petition of Japanese game developers [against the Duke], and it had a lot of really famous names on it.” [Seamus Blackley - https://winbuzzer.com/wp-content/uploads/2017/03/Seamus-Blackley-NeoGAF-696x392.jpg] This prompted the Xbox Team to rapidly develop a replacement controller under the codename Akebono, a nod to the Hawaiian sumo wrestler Akebono Tarō, the first non-Japanese- [4] [6] born sumo wrestler to obtain the title of “Yokozuna,” the highest rank in sumo wrestling. [Akebono Taro - https://sports-images.vice.com/images/2017/04/20/aux-fans-de-sumo-cest-la-merde-akebono-est-lhosto-body-image- 1492701578.jpg?resize=1050:*] This would ultimately become the Xbox Controller S which was finalized just in time to be packaged with every Xbox system in Japan at launch… [5] [Xbox Controller Comparisons - https://upload.wikimedia.org/wikipedia/commons/thumb/1/13/XboxOriginalController.jpg/800px- XboxOriginalController.jpg] …But Bachus claims that by then the damage had already been done, saying “It caused everybody in Japan to say, 'do these guys know what they're doing? Are they going to be successful here?' That was rough.”[4] This plagued the Xbox as Microsoft’s relations with Japanese publishers proved to be a serious thorn in the system’s side. After Sony’s original PlayStation smashed sales records in the 5th console generation, the company practically reigned over many Japanese publishers. Thus, fearful of offending or distancing themselves from Sony, some publishers were squeamish to support Microsoft. [4] Bachus recalled a particularly telling incident at a party at E3 saying, “[The party] had every one of the major Japanese game publishers who we'd spent a lot of time with in Japan. I ran into one of these guys, who was standing with [then President and Chief Executive Officer of Sony Computer Entertainment] Ken Kutaragi. At first he was like, 'hey!' and his face lit up. And then he realized he was standing next to Kutaragi. 'Oh, oh, I'm sorry, do I know you?' He pretended he didn't because he didn't want to alienate Sony.” [4] However, Microsoft did manage to build relationships with at least a few companies - such as Konami thanks to Microsoft Game Studios publishing a port of Metal Gear Solid onto the PC… [Metal Gear Solid PC - https://gamefaqs.akamaized.net/box/1/4/9/5149_front.jpg] …And Tecmo through Blackley’s close friendship with famous game designer and then [4] leader of Team Ninja Tomonobu Itagaki. [Itagaki - https://upload.wikimedia.org/wikipedia/commons/3/30/Itagaki_Thumbs_Up_MNT.jpg] Microsoft also built a strong bond with SEGA after Microsoft developed a version of [4] Windows CE and other development tools for the Dreamcast. [Sega MS CE - https://www.windowscentral.com/sites/wpcentral.com/files/styles/large_wm_brw/public/field/image/2017/07/dreamcast-5.jpg?itok=nBVeBJul] [Sega Dreamcast MS CE stamp - http://gamona-images.de/480294/6b5f7f599b87c351ad2d6f50227fe447.jpg] With SEGA arguably giving the Xbox the most ardent support in Japan by signing on to release 11 exclusives for the system, including titles such as Jet Set Radio Future, Panzer Dragoon Orta, Gunvalkyrie, and Crazy Taxi 3: High Roller. [7] But it appears that this still wasn’t enough as there were still too many that got away. For instance, upon hearing that Shinji Mikami, creator of Resident Evil, was unhappy with working on the PlayStation 2 and was considering moving the series onto another console, Microsoft quickly set up a meeting with him. A EuroGamer article explains: “The meeting was conducted by a member of Microsoft Japan's staff who could speak both English and Japanese. Things began cordially, but soon started to deteriorate. Bachus shifted uneasily in his seat. He could tell from Mikami's body language and tone that he wasn't happy with the answers he was getting. The entire meeting was conducted in Japanese. Notes were passed to Bachus explaining what was going on but all he could do was watch in horror, helpless, as it fell apart. The meeting ended abruptly. Mikami stood, bowed, and left. “Bachus was furious. The translator explained: Mikami had confirmed what Microsoft had heard, that he was frustrated developing for PlayStation 2, which was tough to work with. But his team's bonuses were tied to game sales. He needed a reason, a way to explain the shift away from the wildly successful PlayStation 2, the dominant platform of the time, to the Xbox, which had yet to launch, and which in most Japanese eyes was doomed to failure. ‘What do you guys have to offer?’ he asked, bluntly. “Eventually an exasperated Mikami boiled it down: 'what is your philosophy? Sony says games are entertainment, something larger, fueled by the Emotion Engine. Nintendo says games are toys, created by the legendary Shigeru Miyamoto, perhaps the greatest game developer of all time. What do you feel?' Microsoft had no answer.