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As Microsoft developed the original Xbox console, online gaming was designated as one of the key pillars for the greater Xbox strategy.
Sega had made an attempt to capitalize on the ever-growing online gaming scene when it launched the Dreamcast video game console in 1999, including online support as standard, called Sega Net and Dreamarena.
Microsoft has announced plans to extend Live to other platforms such as handhelds and mobile phones as part of the Live Anywhere initiative.
The Xbox Live service is available as both a free service, known as Xbox Live Silver and a subscription-based service known as Xbox Live Gold, respectively, with most features such as online gaming restricted to the Gold service.
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It was first made available to the Xbox system in November 2002.
Nevertheless, due to lack of widespread broadband adoption at the time, the Dreamcast shipped with only a dial-up modem while a later-released broadband adapter was neither widely supported nor widely available.
Downloadable content was available, though limited in size due to the narrowband connection and the size limitations of a memory card.
Steve Ballmer and Bill Gates both had a vision of making premium download content and add-ons that would attract many new customers.
Based on this reasoning, the console included a standard Ethernet port (10/100) in order to provide connectivity to common broadband networks, but did not include a modem or any dial-up support, and its online service was designed to support broadband users only.