Will the Xbox 360 be affordable?

Gaming insiders say the new 360 will sell for $299. Of course, that’s $75 less than they cost Microsoft to make them.  While thatdoesn’t really make sense to the average person, gamers are a crafty lot and we understand making money today does not equal making money in ten years.  In fact, losing money on this Xbox is a great strategy, and here's why:

1-Microsoft will make money on Xbox LIVE! subscriptions. Yes, this service is essentially a no cost item for Microsoft. While it does cost money to set things up and for maintenance, for the most part, it's free money for them. And LIVE! is going in the right direction. Microsoft has taken a service that is extremely popular and made it even better in the 360. I can't wait to play it. There are even rumors Halo 2 will be playable with up to 50 people!  Now if there were just a way to mute the potty-mouthed 12-year-olds who take such pleasure in my demise...2-Microsoft will make money on the games.This one is self-explanatory.  Remember Halo is the biggest selling game in history, and Halo 2 sold 2.4 million games in the first 24 hours.  I shouldn't have to remind you that Bungee, the developer of the Halo games, is owned by Microsoft.3-Microsoft is willing to take a loss, for a long time, to make a gob of money.In an interview with a top Xbox executive, it was revealed theinitial investment in Xbox was over a billion (yes a billion) dollars andthey've pumped at least twice that much in this cash cow since then. However, with a market share of zero when the thing launched, growth has been staggering.