Microsoft's 2006 E3 press conference has concluded. The event started with a Gears of War trailer; something already familiar to most people. A level was demonstrated to the audience, focusing on the advanced AI and impressive graphics. Peter Moore did most of the talking, as usual. He mentioned that 360 demand was incredible. Nearly 5 million systems have been sold so far. Microsoft wants Xbox Live to be the one unified gamespace for social activity online. Almost 6 million people are subscribers to XBL, and he believes that the XBL Arcade is a big part of this success.

Pac-Man, Contra, Galaga, Frogger, Sonic, Defender, Street Fighter II, Time Pilot, Ultimate Mortal Kombat 3, Rally-X, Dig Dug, Ms. Pac-Man, PaperBoy, and Rootbeer Tapper were all announced for the Marketplace. They will be "updated with HD graphics" and some will have XBL multiplayer.

In addition, Lumines Live will be coming to the system. A deal with Warner Bros was announced so that licensed music videos will be playing in the background of the game.

Peter Molyneux's Fable 2 was debuted in trailer form, followed by Forza Motorsport 2. A wireless steering wheel with force feedback was announced along with the Xbox 360 camera, "Xbox Vision". Players will be able to take their own gamertag pictures. That's a somewhat disturbing thought.

A new Splinter Cell: Double Agent video was shown. It will be released this September. A lengthy demonstration of Rare's Viva Pinata was also demonstrated. Despite the company's enthusiasm for the game, it doesn't look like too many people are taking the title seriously.

Moore restated the importance of the Marketplace. The Fight Night Round 3 demo caused preorders for the game to skyrocket. He then announced the first TV show available to download on XBL, The Gears of War Experience.

The 360 HD-DVD peripheral was shown in its final form. It will be available this holiday season.

Moore mockingly revealed a new tatoo. While everyone expected a Halo 3 announcement, Grand Theft Auto IV was painted on his left arm. The game will be released on October 16th for the Xbox 360.

The conference then shifted focus to Windows Vista. Microsoft will be revitalizing the Windows gaming platform alongside the release of Vista. Numerous games will be released for both the PC and 360 simultaneously. Several trailers were shown, the most impressive being Alan Wake.

Bill Gates took stage to continue talking about their "bigger picture;" how MS wants to control the PC market and mobile phone gaming in addition to the Xbox 360. The platform "Live Anywhere" was announced. It will be integrated into Windows Vista and future cell phones to take advantage of the current Xbox Live community. It will share a single user interface, identity, friends list, and marketplace.

Oh and a Halo 3 trailer concluded the event.