Microsoft Xbox 360 HD DVD add-on to cost ~$170 in Japan

Microsoft has announced that it will launch the HD DVD Xbox 360 add-on drive on November 17th in Japan, with a retail price of 19,800 yen (US$170).  This drive aims to help the Xbox 360 rival the upcoming PlayStation 3 by offering high definition movie playback with up to 1080p support, but from the rival format - HD DVD.  Microsoft also announced plans to release its HD DVD add-on in the United States and Europe by the end of the year.

Despite the drive being a separate add on, the price of the basic Xbox 360 and HD DVD add-on combined works out at 49,600 yen (US$420), 10,200 yen (US$90) cheaper than even the basic PlayStation 3 due for launch in Japan!  Even the higher end Xbox 360 with the add-on still works out cheaper by around 2,100 yen (US$20).

In an aim to help boost the sluggish Xbox 360 sales in the Japanese market, Microsoft will also launch a cheaper bare-bones Xbox 360 version to the Japanese market on November 2nd, which will be priced at 29,800 yen ($256).  This version is already sold in the United States and Europe.  The main issue Microsoft has been facing is lacking in its variety of games, however they will be offering 110 game titles for the Xbox 360 by the year end in Japan to help address this issue.

The rollout plans come as the company tries to shore up sales ahead of the arrival later this year of next-generation machines by its two top rivals '” Sony and Nintendo Co.   The basic Xbox 360 doesn't come with high-definition DVD capability. The new Microsoft peripheral, to be launched in Japan on Nov. 17, is based on the HD DVD standard, a rival technology to the Blu-ray format Sony is using for the HD player built into its anxiously awaited upgrade to the PlayStation line.   The attachment will cost 19,800 yen ($170) in Japan, bringing the combined cost of the basic Xbox 360 and the HD-DVD player to 49,600 yen ($420) '” compared to 59,800 ($510) for the basic PlayStation 3 in Japan. The higher-end Xbox plus the HD-DVD player will cost 57,700 yen ($490). Sony has left it up to retailers to set the price for its higher-end PlayStation 3. The full article can be read here.

With the price of the Xbox 360 and HD DVD add-on now working out a fair bit cheaper than the upcoming Playstation 3, it looks like Sony's plan in selling the PS3 as a budget Blu-ray player has already been ruined.  What is even more interesting is that not only does the Xbox 360 and add-on work out around half the price of the cheapest Blu-ray disc player currently out, the physical size of both together would take up a much smaller area than Toshiba's beast and even offers 1080p, a feature that the Toshiba player lacks.

Source: International Herald Tribune