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Lets see...

A failure prone machine that only plays DVDs with a 120 gig HD: $299

A stable machine that plays DVDs and Blu-Ray with a 120 gig HD: $299

hmm..it doesn't take a rocket scientist to see where the better value is. MS's only stronghold at this point is the arcade model. I'm sure that's where most of their sales will still come from, and rightfully so. $199 is the only 'feature' the console needs on top of playing video games to be a great value.

I think this thread is a joke..it has to be.