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Microsoft, however, hoped that the Xbox would succeed where the Dreamcast had failed.The company determined that intense online gaming required the throughput of a broadband connection and the storage space of a hard disk drive, and thus these features would be vital to the new platform.

The online features, while praised as innovative, were largely considered a failure, and the Dreamcast's immediate competitor, the Play Station 2, did not initially ship with built-in networking capabilities.

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The Xbox Live service is available as both a free and subscription-based service, known as Xbox Live Silver and Xbox Live Gold, respectively, with most features such as online gaming restricted to the Gold service.

As Microsoft developed the original Xbox console, online gaming was designated as one of the key pillars for the greater Xbox strategy.

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