Xbox Technologies claims that it alone has the right to exploit the Xbox brand and is prepared to go to court to defend the name. Microsoft filed its first claim to use the Xbox name with the U.S. Patent and Trademark Office (USPTO) on 18th October 1999 but Xbox Technologies had already filed their first claim with the USPTO on 10th March 1999.
Since filing its first claim to the name, Microsoft has filed an additional nine claims, the most recent on 19 September 2000. Meanwhile, Xbox Technologies and its subsidiaries have filed an additional 45 claims, 38 of which were filed in May 2000.
Of the filings by Xbox Technologies, 22 relate to variations on the Xbox name, including “Xbox Technologies” and “Xbox E-solutions.” One of Xbox Technologies more recent, somewhat all encompassing filings, related to;
‘Providing information in the fields of entertainment, hospitality, travel, music or movies or sports over global computer networks, global computer networks, global communications networks, wireless devices, telephone and desk-top computers.’
Xbox Technologies Chairman and Chief Executive Officer, John van Leeuwen stated that it would be very confusing to have 2 companies with the same name and that,
"…there’s no way we can co-exist… We can’t afford to have our business confused with games for kids. Either we find a business solution or we get into a legal battle."
Mr. Leeuwen also commented that, "Microsoft is spending a lot of money promoting it and I think [the Xbox name] is as valuable to them as it is to us. If they want us to part with it, its up to them to determine how much they think it’s worth."
A spokesman for Microsoft said the company was confident they would prevail in the name dispute. Microsoft can officially oppose Xbox technologies but this could take years to resolve. Alternatively, they could choose to release the Xbox console while the dispute is unresolved, but this may leave them open to an application from Xbox Technologies for an injunction that would temporarily prevent the machine's release.
Microsoft is due to release the Xbox this Autumn with a $500 million publicity campaign. The Xbox and Nintendo’s anticipated Gamecube console (also to be released later this year) will be the main competitors against Sony’s PlayStation 2 which was released last year. Any delay to the Xbox release would be embarrassing for Microsoft which has recruited more than 150 software developers to produce games for the console.