Microsoft will launch the Xbox One in China this September, following the Chinese government's decision in January to lift its ban on the sale of foreign video game consoles. The ban stood for 14 years, and with its dismissal China crafted new rules to regulate console and game distribution.
Among those rules is the requirement for foreign companies to work with local organizations to produce consoles within the Shanghai Free Trade Zone, which Microsoft can fulfill thanks to its partnership with Chinese media company BesTV. The Xbox One manufacturer teamed up with BesTV in September 2013to create E-Home Entertainment. Microsoft holds a 49 percent stake in E-Home and BesTV holds 51 percent, both combining to invest $237 million. E-Home Entertainment plans to establish an "innovation program" that will foster Chinese development on Xbox One.