Gamers looking at up to $700 for Xbox 360 equipment

Westlake Village (CA) - Sure, Microsoft announced that its new game console will be priced as low as $299. But very few serious gamers will choose to go with such a system. The ultimate gaming experience will carry a price tag much closer to $700.

Some time has passed since Microsoft announced its two-pronged attack on the console-gaming market, and the wounds caused by an expected price increase have begun to heal. Shortly after the announcement of the Xbox 360's tiered-pricing structure - $299 for the entry-level system, $399 for the harddrive decked-out version - the Internet was on fire with angry gamers complaining about exorbitant prices and greedy, evil corporations.

Let's have a closer look what this money is going to buy.

Option 1 is the Xbox 360 core system which is promised to hit store shelves for $299. The package will include the Xbox 360 console, a wired controller, a detachable faceplate, Xbox Live silver membership and standard AV cables. Add $100 and you will get in addition to the basic package a detachable harddrive with 20 GByte capacity, a wireless controller, a wireless Xbox Live headset, high-definition AV cables, an Ethernet cable, and a remote control.

You don't have to be a marketing whiz to figure out that Microsoft will announce from the highest mountain that Xbox 360 can be yours for only $299. Technically, this is true. You could buy the Xbox 360 Core system and a game, hook it up, and play until the cows come home. Given the pricing structure of the core system as well as accessories, many gamers are likely to utterly ignore the core system's existence.

The complexity of today's games require storage capabilities for a game console - which will run an extra $40 for a 64 MByte memory card for the basic Xbox 360, or an extra $100 for a 20 GByte harddrive. While required memory already eats up half of the savings compared to the $400 system, the higher-end model comes adds some more value, if you are planning to do more than basic gaming. The wireless controller typically runs for $50, a headset for $20, hi-def AV cables for $40, the Ethernet cable for $12, and a media remote control for $30. In this respect, your basic system will cost you not $300, but $400 - without games.

Game stores already have begun offering pre-orders for the Xbox 360 and $400 systems are likely to be scarce in the first few weeks after launch. Similar to the Xbox launch in 2001, gamers will run into bundle offers which comes with added accessories, some games and - as a result - an artificially inflated price. For example Electronics Boutique advertises its "Ultimate Bundle" for $700, which includes the $400 system package, an extra wireless controller (totaling 2), a play and charge kit for the controllers, a rechargeable battery, as well as the games as well as Perfect Dark Zero Limited Edition, Dead or Alive 4, Kameo: Elements of Power, and Project Gotham Racing 3. There is also a $600 bundle that comes with the ($300) core system bundle, the same four games, an extra wired controller, and a memory unit. This package alleviates the problem of not being able to save your games, but rumor has it that the harddrive is a necessity for backwards compatibility. The same types of bundles are likely to surface on other etailer websites as well.

Entry-level fees of $600 and $700 are likely to anger gamers even more than the initial $300 and $400 of the basic console systems. But in times when high-end graphic cards typically run in the $500 range, require some work for hardware and driver installation, even $700 for a decked out Xbox 360 could be considered a good deal.