The Xbox 360, successor to the Xbox, is a video game console by Microsoft. It competes with Sony’s PlayStation 3 and Nintendo’s Wii. A prominent feature of the Xbox 360 is its integrated Xbox Live service. It allows players to compete online and download arcade games, game demos, trailers, TV shows and movies. Other features include its Windows Media Center multimedia capabilities, mandatory high definition support, movie rentals and the ability to watch HD DVD movies with an add-on drive. The Xbox 360 was unveiled on MTV on May 12, 2005, with detailed launch and game information divulged at the Electronic Entertainment Expo (E3). It sold out completely upon release in all regions except in Japan, and, as of January 5, 2009, 28 million units have been sold worldwide, according to Microsoft. It is currently available in three configurations: the “Arcade”, the “Pro”, and the “Elite” console, each with its own selection of accessories.

The Xbox 360 is the first game machine to lower its prices. Microsoft puts pressure on rivals Nintendo and Sony to cut the prices of their machines.Thus it facilitates more people to buy Xbox 360. It sells for less than $200, a key mass-market price that has accounted for more than 75 per cent of all machine sales in Microsoft. The US prices of the entry-level console of the video game machine, had been lowered to $50 below Nintendo Co Ltd’s top-selling Wii. The company said it will cut prices for its entry-level Xbox 360 Arcade, which comes without a hard drive, to $199 from its current price of $279 and it also will lower the prices of its mid-range and high-end Xbox 360 consoles by $50 each. Microsoft also had said it will cut the price of its Xbox 360 Pro, with a 60-gigabyte hard drive, to $299 from $349 and its top-end Xbox 360 Elite with a 120-gigabyte hard drive to $399 from $449.

Xbox 360 problems are quite common. The console is subject to a number of technical problems. Many of the issues can be identified by a series of red lights flashing on the face of the console. The three flashing red lights (”Red Ring of Death”) is the most infamous. Recently, there has been legal action taken attempting to hold Microsoft responsible for the failure rate and provide reasonable compensation for those affected. When a Microsoft Xbox 360 console experiences a “general hardware” failure or “core digital” failure, 3 flashing red lights appear around the power button, in lieu of the four green lights indicating normal operation. Warning signs includes freeze-ups, with graphical problems like checkerboard or pinstripe patterns in the middle of game play, frozen or strange, static-like sound, and the console only responds to pressing the power button to turn it off. When the error occurs, the user attempts to turn the console on and the three red lights are seen and the console will not function. In newer consoles, there can be three lights flashing with a green light flashing in the center for power outages.