Xbox is becoming Microsoft's "premium entertainment brand"

Microsoft marketing boss Yusuf Mehdi has said Xbox Live is leaving hardware behind to become a major force in Microsoft's broader strategy.

Speaking to MCV Pacific, Mehdi agreed that Xbox - the brand, not just Xbox LIve - has grown from a product to a service.

"Xbox is becoming our premium entertainment service brand for Microsoft, and it includes hardware and software experiences," he said.

"It runs on the console and the TV and it runs on tablets and it runs on your phone. It’ll run on Windows 8.

"We’re bringing it everywhere, so you’re right to think of it as more of a service in which things come with it, as opposed to 'I’ve just bought a box, now I need to go buy other things to do with it.'"

During E3, Mehdi announced a major expansion to Xbox Live's entertainment services.