HDD you say? The Arcade SKU can play any 360 game without the need for a HDD,you save the game on the 256 mb memory card included in the box.
Play on Live you say? You don`t need a HDD to play on Live,so the 199$ price tag is great. Actually,the 360 is at half the price of the ps3 WorldWide. I think it will hurt Sony`s sales.
RRoD you say? I think that`s the real problem. The Jasper model is for september-october and it will be very reliable. All the 360 exclusives should seal the good 199$ deal.