Very good post by Million.
At any rate, if Microsoft wants to be profitable, they can NOT release a X720 or whatever for a few more years.
It's absolutely CRAZY to think that they would stop production soon on a console that has only dropped $50 (officially) since it debuted! Common sense would dictate that they would lower the price a few more times, and then eventually release a successor once the 360 sold all it could.
The Xbox only lived for 4 years, not because it failed or was a bad system, but was a financial boondoggle. Microsoft never made a dime on the hardware, and always sold it at a loss. It's hard to make your system profitable (or make it price competitive) when your component costs rarely go down in price, and your at the mercy of other companies.
As for TSE market pricing. It could just be their expectations of the X360 brand, as the PS3 did well last month due to MGS4, and the consumers are having a knee-jerk reaction to sales. The X360 will still sell well above 40m units before it's done.
Back from the dead, I'm afraid.
