In Microsoft a real civil war broke out The Box and Windows teams almost buried a new portable console because of disputes over the operating system.
Rumor has it that the Windows division insisted on using a simplified version of Windows Home, while the Xbox team wanted to develop their own OS with an emphasis on maximum performance in games.
The conflict was so serious that one of the Xbox executives threatened to completely cancel the development and release of the device unless his team was allowed to decide the fate of the operating system itself.
As a result, Microsoft's management sided with Xbox and handed over control of the software platform to it, but the collaboration with Windows developers will continue.
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