DigiTimes Systems has announced that the HD DVD Drive for the Xbox 360 will be sold at a retail price of around $200 US by the upcoming holiday season.
“External drives have more flexibility than built-in models, the companies pointed out, while adding that despite BD having a much larger storage capacity than HD-DVD, pre-installation of BD drives may decrease the market competitiveness of PS3 units.”
Microsoft chose the HD-DVD standard rather than the Blu-ray standard because the HD-DVD is compatible with existing DVD formats while also having much lower production costs.
Source: DigiTimes