QFTx2.

MS want gamers online - and they want them downloading digital content. The Core model isn't great for either of these.

They would be better off dumping the core, and making a new model - that either allows for USB key storage (fast enough?), or has built-in memory - or just a small hdisk.

The days of 360s being sold without built-in storage is drawing to an end.

I don't even know how the 360 owners can even handle having anything under 100gb's, XBL is massive and has so many great things to download, the wii can get away without an HDD but the 360 is nothing without XBL. they have some demo's that are over a GB, plus you can Download HD movies which are over 5gb's.

I just wish torrents were not so slow for comps or i would have over 1TB of movies :)

I know it is a little out of the thread but I dont think it is a good move,

IF it is truly their secret "falcon", then they should make a big annoucement about HDMI + 65nm.

They should have tried to hype the system presenting it as a news product...
it would help their price drop.

I reckon the Core is getting phased out completely.  It makes sense!  New games for the 360 will start "requiring" a HDD and I reckon that GTAIV is going to be one of them.  It makes sense.

I can see MS, discontinuing the Core unit completely and then pushing the Premium as the basic unit with the Elite at the desired unit.  They may very well reduce the cost of the Premium again once the Core's have disappeared.

Also, what are the figures for sales of the Core compared to the Premium?  This WILL go the same way as the 20Gb PS3 IMHO. 

OK. There is no way, even with die shrinks, that MS can sell a version of the 360 (with more performance and features than the Wii even in the core model) at less than the Wii's price. If they did, Nintendo would drop the price to match them and must still then maker a larger profit on the $199 Wii than Microsoft would do on a $199 360.

 How many times do people need to say this?  Nintendo will not lower the price of the Wii until it stops selling out, no matter how low the PS3 or 360 go.  It makes no sense.

The Core as it is will very likely be phased out. The model makes no sense at all from a consumer perspective. Chances are they will simply sell off whatever they have left and go a 2 SKU route (seem like a familiar trick?) or reintroduce the thing a little cheaper and with some built-in flash.

8th August
Core - $279.99
Premium - $349.99
Elite - $449.99

September
Halo 3-60 Special Edition - $399.99

October/November
Core - discontinued
Premium (new chipset) - $299.99
Elite (new chipset) - $399.99

Nice price drop strategy, 300$, just when GTA4 is released !!!!!!

oh!, GTA4 is delayed ?

Damn, game over....

I wonder if the price drop being only $50 might have had something to do with that GTA thing...