Xbox 360

LONDON - 21 November 2008 – The UK’s biggest girl band The Sugababes amazed partygoers last night as they took to the stage with a special performance of Duffy’s ‘Mercy’ on new Xbox 360™ singing game, ‘Lips’® - and outscored the Welsh star at her own song.

Performing material from their forthcoming album live at the launch party for the ‘New Xbox Experience’, the Brit Award Winners then swapped their mics for the flashing, wireless mics of Lips and treated guests with a dazzling rendition of the soul singers big hit as Duffy’s video and lyrics flashed up on screen.

And, as the intimate 400 strong crowd stood in awe – the girls pulled off an overwhelming game score of over 1.2 million points and 152 ‘medals’ – nearly double the score that Duffy racked up when she performed the same song at E3 – the gaming conference in Los Angeles in July earlier this year.

“It was fantastic”, one onlooker said. “When they finished their live performance everyone assumed that was it, but then they just got back up on stage and belted out some karaoke – it’s not often you see the Sugababes do that and they really brought the song to life with their own style.”

The chart-topping trio of Keisha Buchanan, Heidi Range and Amelle Berrabah performed at the event to celebrate the launch of the New Xbox Experience - the new service which is set to transform the Xbox LIVE experience for millions of entertainment fans with an all-new look and feel. It will make accessing great music, movies and games easier and more fun than ever before.

Commenting on the performance, Sugababes Keisha said: “It was great fun! It’s certainly something a little different for us to sing someone else’s song like that, and the three of us were getting a bit competitive on stage trying to score the most points which was hilarious. We’re been enjoying playing Lips since we first got it and with the music, music and other entertainment on the New Xbox Experience we think it's great that more people can now enjoy all this entertainment whether they’re into gaming or not.”

-Ends-

For more information visit www.xbox.com/nxe.

For more press information, please contact:

Nik Thakkar / 020 3047 4087 / nik_thakkar@jcpr.com

Seema Parmar / 020 3047 4001 / seema_parmar@jcpr.com

About Microsoft

Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

About Xbox 360

Xbox 360 is the most powerful video game and entertainment system, delivering the best games, the next generation of the premier Xbox Live online gaming network and unique digital entertainment experiences that revolve around gamers. Xbox 360 is expected to have a catalogue of 160 high-definition games by the end of 2006 and to be available in nearly 37 countries by the end of this year. More information can be found online at http://www.xbox.com/xbox360.

About Xbox Live

Xbox Live is the first and only unified online entertainment network seamlessly integrated throughout the entire console experience, making it easy for people to find the friends, games and entertainment they want from the moment they power on their Xbox 360 system. Xbox Live connects millions of members across nearly 25 countries to enjoy hundreds of multiplayer games, downloadable games via Xbox Live Arcade, free and premium playable game demos, music videos, and movie trailers, as well as new game levels, characters and vehicles for all their favourite retail games. More information can be found online at http://www.xbox.com/en-us/live

Microsoft, Xbox Live, Xbox 360 and Xbox are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

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[1] ERP Estimated Retail Price – prices may vary by individual retailer

[1][2] Revenue projections come from Screen Digest's Broadband Media Intelligence service, which is compiled from the ground up, from primary research with suppliers in the marketplace, and developed through our industry-leading digital content forecast models. Their core business is tracking the availability and performance of all such services in the marketplace and therefore are aware of all platforms currently available in Europe.

[3] These films may be subject to change