The Xbox 360 was officially unveiled on MTV on May 12, 2005, with detailed launch and game information divulged later that month at the Electronic Entertainment Expo.
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.
With the launch of the Xbox 360, Microsoft's online gaming service, Xbox Live went through a major upgrade, adding a basic non-subscription service, Silver, to its already established premium subscription-based service, Gold.
Xbox Live supports voice communication along with video communication, a feature possible with the Xbox Live Vision.
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 CPU also contains ROM storing Microsoft private encrypted keys, used to decrypt game data.
Xenos contains 48 unified shader units, which are capable of both vertex and pixel shading operations. This is in contrast to older graphics processor designs which utilize separate specialized units for these tasks.
Up to four controllers are supported by the Xbox 360, in the wireless form. However, there is a maximum of three wired controllers, as the Xbox 360 only has 3 USB slots.
The Xbox 360 controller is significantly different from the original Xbox controllers, the Duke and the S models. The black and white buttons have been replaced by bumper buttons, which are on the shoulder of the controller, right before the triggers. It is noticeably smoother, has a white-gray theme, and is very small and ergonomically built.