The team behind the original Xbox considered adding a 56k dial‑up modem to the console but ultimately decided to include only an Ethernet port, former Xbox executives said during a 20th‑anniversary panel reflecting on the system’s launch and legacy.
Why the modem idea was dropped
Robbie Bach, the former head of Xbox, said designers debated whether to equip the console with a dial‑up modem or an Ethernet connection. Cost proved decisive: adding the modem hardware or a dedicated port would have been expensive, so after discussions that included Bill Gates the group chose to ship the console with an Ethernet port to position it for future online use.

Context of internet access in 2001
When the Xbox debuted in 2001, roughly 80% of internet users worldwide still connected via dial‑up lines; broadband was only beginning to spread. The Ethernet decision reflected an eye toward anticipated growth in broadband adoption.
Panel participants and anecdotes
The anniversary conversation featured former Xbox figures including Ed Fries and Peter Moore, with Reggie Fils‑Aime, Nintendo of America’s retired president, serving as moderator. Bonnie Ross, now head of 343 Industries, was the only panelist still working at Microsoft.
Panelists shared other origin stories: Ross recounted learning about Microsoft’s console plans while having a beer with designer J Allard, who told her about the project.
Where to watch the full discussion
The complete panel is available to view here:
Launch timeline and sales
The original Xbox reached the North American market in November 2001, arrived in Japan three months later and then launched in Europe and Australia in March 2002. Microsoft sold more than 24.5 million units of the console before it was succeeded by the Xbox 360.
Current generation sales note
Microsoft’s most recent consoles, the Xbox Series X and Series S, launched a year ago and are estimated to have sold around 8 million units so far.


