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I just have one question,,,,

why on earth MS would make its console 200 dollar more expensive (and almost kill xbox brand)to help Toshiba???

HD dvd is a technology owned by Toshiba not MS.So all the losses absorbed by MS is just helping Toshiba and not MS.

bluray one the other hand is owned by Sony,,so it would be justified for sony to suffer the beginning losses in hope of big royalties in future.