BERKELEY, Calif.--Microsoft Chairman Bill Gates on Friday started out a busy day in the Bay Area by talking to college students about a range of topics, from open-source software to malaria to the next Xbox.

Asked about Microsoft's biggest contribution, Gates said it is the creation of the software industry that came with the PC. But he also said the Tablet PC--a pet project of his--is pretty neat, too, as will be the next version of the Xbox.

The next Xbox "may not be good for productivity, but it will be fun," he said. While not offering too many details on the device, he said communications will play a bigger part in the gadget, as will the idea of having an audience in addition to just players. "It's not just one person sitting there shooting at artifacts," Gates said.