With few exceptions, they don't work on competing platforms, such as Playstation, Mac OS, and Wii. Most major PC games now use DirectX, and run on both Windows and XBox 360.
Looking at the games scene now, it's clear that this strategy is succeeding. The XBox was a loss leader ( losing over 4 billion dollars), intended to set the stage to dominate the games market in the next generation. When Microsoft entered the gaming market in 2001, it introduced the DirectX Box, or XBox for short. These libraries included Direct3D, DirectInput and DirectSound, and the entire collection came to be known as DirectX. For this reason, in 1995, they created a proprietary set of libraries in order to encourage exclusive games for their new Windows 95 operating system. Ever since MS-DOS, Microsoft has understood that games play an important role in users' choice of operating systems.
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