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Beefed Up Xbox Competes with Apple TV, PS3

Wednesday, March 28th, 2007 at 11:50 AM - by

Microsoft introduced a new version of its Xbox gaming console on Wednesday dubbed the Xbox 360 Elite. Key to the new model is one feature that Sony's PlayStation 3 and the Apple TV already have: HDMI. It also ships with a 120GB hard drive, a wireless game controller, and a high definition video cable.

The ramped up specs on Microsoft's new gaming console position the device to compete head to head with the Apple TV as a home media center device, and the PlayStation 3 as a high definition game box.

Microsoft touts that the Elite's larger hard drive is perfect for holding movies and music downloaded from Xbox Live - Microsoft's answer to Apple's iTunes Store. It does, however, offer a DVD drive and an established gaming platform - features Apple's home media box don't have.

Whether or not the Xbox 360 Elite and its US$480 price tag sways consumers away from Apple TV at $299 remains to be seen, especially since Apple isn't gunning for the home gaming market. More likely, the new Xbox will put a bigger squeeze on the PlayStation 3 and Nintendo's Wii.

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Biff said:

member since 08 Apr 2004 with 1479 posts, unranked, send him a message or view his profile

Wed Mar 28, 2007 2:36 pm

Hopefully the new 360's HDMI cable supports output of 7.1 PCM audio. Not that I have a receiver to process that yet... or any HD-DVDs that are mixed in 7.1 yet... but having a device that can output that signal would be an important step. My rear surround speakers are getting tired of sitting there looking pretty.

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jimothy said:

member since 04 Jun 2004 with 612 posts, unranked, send him a message or view his profile

Wed Mar 28, 2007 5:29 pm

I don't think the Wii has to sweat, either. XBox 360 and PS3 are for hard-core gamers; the Wii appeals more to casual gamers, both in its price and simplicity.

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A guest said: (hide)

Wed Mar 28, 2007 5:44 pm

The 360 Elite is actually a DEFENSIVE move by Microsoft. Not mentioned in the iPod Observer blurb is the fact that the Elite does IPTV (from companies like AT&T and Verizon). Why is this important?

One of the selling points of the PS3 is that its not only a game console, but it gives the user access to high-definition movie/TV/whatever content, in the form of having a Blu-Ray disc player. The Xbox 360's answer to that is an add-on HD-DVD drive, which can play high-definition DVDs.

The problem for Microsoft is, HD-DVD is losing the format war against Blu-Ray, and will likely be out of the picture within a year, likely. At which point the PS3 will have a major selling point to hold over the 360's head.

What can Microsoft do? Jump on the Blu-Ray bandwagon? Assuming Sony would even allow it, MS would look very stupid. So what else is there? Oh yeah, IPTV. Not available hardly anywhere, but it will be, and it is SOMETHING, at least.

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