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Microsoft is very happy with the current market dynamics. For the company to change the SKUs there need to be a really good reason.

Remember - every time a SKU is improved, the older SKUs have to be cleared out at a discount, which means revenue loss.

Now to the point: No chance in hell for a wireless upgrade. As others have stated - it is an added cost with very little return in terms of sales. The market have clearly shown for both Wii and 360 that WiFi is not a selling point.

HDD: This will go up. There is very little cost difference between a 60GB and a 120GB and it is top of mind for customers. I think Microsoft will wait for Sony's
moves and will one up them there on the HDD space.

Timing - Since Microsoft is sitting nicely, it will wait to see what Sony does before announcing any SKU changes.

The only exception is going to be the Slim model. Since Microsoft saves money by shrinking the CPU/GPU, power consumption and the rest of the circutry - it will introduce the slim model when it is ready, not waiting for Sony.



Prediction made on 11/1/2008:

Q4 2008: 27M xbox LTD, 20M PS3 LTD . 2009 sales: 11M xbox,  9M PS3