This past week was monumental for Xbox 360 – not only did we launch the unprecedented Halo 3 beta program, but we also announced the September 25 retail launch of Halo 3 – the most highly anticipated video game of all time. According to NPD, Xbox 360 continued to outpace PS3 in next-generation gaming console sales during the month of April with 174K units sold for the month. Together, Xbox 360 and Xbox LIVE create the ultimate connected entertainment experience, allowing users to play some of the most popular video games available with friends and family members around the globe such as “Guitar Hero II” (Activision), and anticipated summer blockbusters like “Shrek the Third” (Activision) and “Pirates of the Caribbean: At World's End” (Disney Interactive Studios).

Our Choices:

Contributing to the overall success of Xbox 360 for the month was the new Xbox 360 Elite, which arrived in U.S. stores on April 29th to much fanfare. With its slick, black finish and 120 GB hard drive, Xbox 360 Elite offers enough space for gamers to create a robust library of Xbox LIVE Arcade games, songs and downloadable high-definition TV shows and movies.  Xbox 360 Elite has enough space for hundreds of Xbox LIVE Arcade games, tens of thousands of songs and a wealth of HDTV and movie programming.

Earlier this month, the Xbox LIVE value proposition became even more undeniable with the arrival of Windows Live Messenger! Friends and family members can now easily connect and chat directly from their television sets while they play games on Xbox LIVE or watch movies and TV shows from Xbox LIVE Video Marketplace.

Our Games:

Games for the Xbox 360 continue to do incredibly well every month with three of the top 10 best-selling games for April including highly anticipated blockbusters “Guitar Hero II” (Activision) and “Spider-Man 3” (Activision) and “Major League Baseball 2K7” (Y2K). Thanks to these titles, amongst others, we were able to maintain our record-setting software attach rate for the ninth month in a row at 5.8 games sold per console. This incredible number is not only a testament to the strength of our games portfolio, but also to the success that we share with our third-party games publishers, and the broader ecosystem in general.

On Wednesday, May 16 we opened up worldwide access to the first-of-its-kind beta program for “Halo 3” (Bungie Studios). This phenomenal opportunity gives devoted Halo fans, and newcomers alike, the chance to play one of the most highly anticipated titles in video game history – available only on the Xbox 360 platform – before it is released to the public on September 25th in the U.S.

Our Accessories:

In April, our attach rate for accessories was 3.1 sold per console. Our new Xbox 360 120GB hard drive contributed to our steady success in this area, further validating our business model for Xbox LIVE Video Marketplace as a great place to download digital entertainment such as movies and TV shows. Our new hard drive is the largest storage option for Xbox 360, and expands the overall gaming experience by allowing gamers to save game progress, Xbox LIVE gamer profiles, game demos and custom soundtracks from their own music collections, as well as original games from Xbox LIVE Arcade.

If you have any questions about Xbox 360, Xbox LIVE or would like to speak with someone from Microsoft for further details, please feel free to contact us.