Xbox is the predecessor to Microsoft's Xbox 360 console.
The Xbox 360 is the successor to Microsoft's Xbox video game console, developed in cooperation with IBM, ATI, Samsung and SiS.
The Xbox 360 sold out completely at release and by the end of September 2006 had sold 6 million worldwide.
Its Xbox Live service allows players to compete online as well as download games and additional content.
Known during development as Xenon, Xbox 2, Xbox Next or NextBox, the Xbox 360 was conceived in early 2003.
Microsoft's retail strategy involves two different configurations of the Xbox 360: the Xbox 360 SKU, frequently referred to as the Xbox 360 Premium Package and an Xbox 360 Core System SKU.
At launch, the Xbox 360 was priced at US$399 and the Core System was priced at US$299.
Since Microsoft owns the intellectual property rights to the hardware used in the Xbox 360, they can easily switch to new fabrication processes or change suppliers in the future to reduce costs.
Microsoft is predicting that with the Xbox 360, a greater market share, yearly revenue through their Xbox Live service, and falling hardware costs will eventually make system sales profitable.
On November 6, 2006, Microsoft announced Xbox Live Video, an exclusive video store accessible through the console. Launched on November 22, 2006, the first anniversary of the Xbox 360 launch, the service allows users to download high-definition and standard-definition television shows and movies through Xbox Live onto an Xbox 360 console for viewing.
Dashboard version 2.0.4532.0 allows the Xbox 360 to output video at 1080p and installs support for Zune and the external HD DVD drive attachment.
The Xbox 360 takes a new approach to hardware compared to its predecessor. The CPU, named Xenon-CPU (or XCPU) at Microsoft and "Waternoose" at IBM, is a custom triple-core PowerPC-based design by IBM.
