Now that Epic Games will open a Japan Division, do you think this will help the Xbox 360 sell some more over in Japan, or will they just concentrate on Nintendo & Sony

In a word? NO

no it's for Japanese developers to improve their use of UE.nothing to do with either consoles.

lol. I doubt Epic ever "concentrates" on Nintendo.

Nope...

Epic also plans to start up a Japanese games R&D group, as well as a Korean studio actually.  They've been expanding a bit with various buyouts (People Can Fly in 2008, Chair Entertainment in 2009) and start ups (Titan Studios in 2008).  

I really don't think that anything is going to help in Japan. Bad quality on the console at first + Japan's reluctance (to put it nicely) to purchase electronics from anywhere not called "Japan" = not a good situation. To be honest though for an American electronics company with a broken prodect, they did pretty good.

Are you saying that Iphone is not popular in Japan? I also think that the pricing model is putting people off. Cheap console but expensive extras

No not at all, the iPhone is a big glaring exception to that rule. Apple is kind of an exception to a lot of electronics rules honestly. I kind of had hoped that Apple's success would have helped MS get their foot in the door, but the aforementioned brokenness and as you mentioned the pricing model is just keeping them from really getting started. I still think with no RROD we would see 3 million 360's in Japan right now, if not more.

I'll join the chorus. Epic will spend their own money to help themselves. M$ need to deal with facts and move on. Preferably to the EU, AU, PRC, ROK, etc. where the outcome is not yet set.