Microsoft's acquisition of home entertainment technology company R2 Studio

January 3, according to foreign media reports, sources said that Microsoft has acquired a small home entertainment technology company id8 Group R2 Studios to enhance its Xbox business.

This company was founded in May 2011 by entrepreneur Blake Krikorian. Klikorian will then join Microsoft. As part of the transaction, Microsoft also acquired a number of patents owned by the company that are related to electronic device control.

The specific price of the transaction was not disclosed.

R2 Studio has been developing technology for distributing and displaying digital media on television, a market that technology giants are vying for. The source said that the company also discussed the possibility of acquisition with Google and Apple. The media has previously reported on this news.

Last year, Microsoft spent a considerable amount of time trying to build the Xbox from a single video game console into a platform that connects traditional TV and online video. The Xbox business unit has reached a content agreement with Netflix, Comcast, Time Warner's HBO, and Google's YouTube. According to the agreement, users of the Xbox Live network service can watch on-demand TV content or network video on the TV.