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Xbox turns 20: The 10 biggest moments in the video game console's history

Then-Microsoft Chairman Bill Gates, right, and Dwayne "The Rock" Johnson talk about Microsoft's Xbox, which Gates unveiled during his keynote speech, at the Consumer Electronics Show in Las Vegas on Jan. 6, 2001.
Then-Microsoft Chairman Bill Gates, right, and Dwayne "The Rock" Johnson talk about Microsoft's Xbox, which Gates unveiled during his keynote speech, at the Consumer Electronics Show in Las Vegas on Jan. 6, 2001.

Microsoft's Xbox video game console celebrates an important milestone this month.

On Monday, the Xbox marks its 20th anniversary since launching in 2001. Fans of the console likely recall then-Microsoft CEO Bill Gates appearing on stage at the Consumer Electronics Show in Las Vegas with a rising star in the WWE, Dwayne "The Rock" Johnson (maybe you've heard of him).

On Monday, Microsoft commemorated the anniversary with a special livestream.

There are also several items available for purchase to honor the anniversary, including this special Gucci bundle for $10,000.

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Here's a look back at the 10 biggest moments in the history of Xbox:

The original Xbox launches

Microsoft made its jump into the video game console space in 2001 at a highly competitive time for the market. Sony had just launched the PlayStation 2 a year before, while Nintendo was still king with the Nintendo 64 and the just-released GameCube. With Sega out of the picture after halting production of the Dreamcast, there was an opening for Microsoft.

In the ’90s, Microsoft made several big video game hits for personal computers including Age of Empires and Flight Simulator. "The company started working on the first Xbox in 1998, when the company's hardware division wanted to make it easier for consumers to play PC-quality games and connect with each other. The original Xbox supported the option to connect multiple devices together for multiplayer games. Among its other key features was a hard drive for game saves, a big draw for players tired of buying memory cards to store their progress.

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A screenshot from 'Halo: Combat Evolved Anniversary' in the 'Halo: Master Chief Collection' video game release.
A screenshot from 'Halo: Combat Evolved Anniversary' in the 'Halo: Master Chief Collection' video game release.

So does the first Halo

There were several games launched alongside the first Xbox, but none more important than Halo: Combat Evolved. The first-person shooter starred Master Chief, a superpowered, high-tech soldier battling the alien species called the Covenant. It not only featured a single-player adventure but multiplayer with up to four players locally on one console.

Halo was critical to the Xbox for several reasons. First, it gave the fledgling console its signature star, much like Mario with Nintendo and Sonic for Sega. Halo has since expanded to several more games along with other entertainment platforms, including an upcoming TV series coming to Paramount+ in 2022.

Halo also proved first-person shooters could work on a console. Early shooters were played on PCs with a keyboard and mouse. The success of Halo, playable on controllers with two thumbsticks, paved the way for other blockbuster action titles on consoles including Call of Duty and Fortnite.

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The birth of Xbox Live

Launched in 2002, the service allowed Xbox players to play against each other online. Games ranging from NFL 2K3 to Halo 2 offered a multiplayer option. Other features on Xbox Live at launch included the introduction of gamertags, personal IDs you created when signing up, friends lists, voice chat and matchmaking. It not only helped pioneer the online console gaming experiences we have now, it opened the door to such amenities as the ability to download full games directly to your device.

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The Xbox 360.
The Xbox 360.

Xbox 360 makes its debut

In 2005, Microsoft would release the second-generation Xbox, called Xbox 360. Along with the typical upgrades in graphics expected from newly released consoles, the 360 also supported the ability to play CDs and DVDs. It also supported several accessories including an adapter for wireless internet, wireless controllers, and custom faceplates.

'Red ring of death'

Multiple owners of the Xbox 360 would experience what was known as the "red ring of death," a hardware failure that would render the console unusable. The signal was when the front of the console would display three flashing red lights on the power indicator. In 2007, Microsoft extended warranties on the consoles by three years from the date of purchase. The costs to repair faulty consoles led Microsoft to take a charge of more than $1 billion.

Grand Theft Auto makes its move

During the Electronic Entertainment Expo in 2006, then Xbox executive Peter Moore rolled up his sleeve during an Xbox presentation to reveal the logo for Grand Theft Auto IV, confirming the franchise would arrive on the Xbox 360 the following year. It was a significant addition. Grand Theft Auto was arguably the hottest property in video games, with new releases only available on Sony's rival PlayStation. It provided another step in boosting the Xbox's brand.

Kinect tries to get you to move

With the Nintendo Wii dominating the landscape through its motion gaming platform, Microsoft attempted a similar leap through the 2010 launch of Kinect, a system featuring a camera capable of tracking your movements. Unlike Wii, which required physical game controllers, Kinect used the camera system to track body movements and hand gestures.

The Xbox One.
The Xbox One.

Here comes the Xbox One

In 2013, Microsoft rolled out the Xbox One, the company's third video game console. It was hampered by a higher price, brought in part by Microsoft's push to get more Kinect sensors in homes. In November, the Xbox One launched for $499, compared to the $399 PlayStation 4. Microsoft would eventually lower the price by dropping Kinect, which ultimately led to the company discontinuing the motion camera system entirely.

Xbox Game Pass

In 2017, Microsoft unveiled a Netflix-style service called Xbox Game Pass, where players could pay a monthly subscription fee to gain access to dozens of games. Along with older titles, the platform offers access to newer games on the day of release.

The Xbox Series X and S arrive

Last year, Microsoft released its fourth video game consoles. The Xbox Series X and S models delivered several important features including faster download times for games, a Quick Resume option to immediately pick up on a game you've paused, and support for earlier games and accessories.

Mike Snider contributed to this report. Follow Brett Molina on Twitter: @brettmolina23.

This article originally appeared on USA TODAY: Xbox 20th anniversary: The 10 biggest moments for video game console