What Does a $199 Xbox Really Mean? Is this the Beginning or the End?

[dbot]

SOME EXPERT GAMING SITES: The $199 Arcade is being sold at a loss ($239 to build) because it is going to be discontinued in response from game designers who don’t like being limited with the lack of a hard drive and a higher rate of customer dissatisfaction.

 

 Can you provide a link to the $239 to build article?

I think the $199 arcade will hurt the PS2 the most.  It may force Sony to drop it to $99.  I don't think it will impact the Wii at all.  It should help Microsoft move some more 360's, but if it doesn't work they are in trouble.