Opinion: Gaming HDMI - Why Now?

This is an opinion editorial

Rumors have been abound of late concerning the possible release of a revamped and updated Xbox 360. This new 360 would include a larger, more generous hard drive (120 GB) as well as HDMI (High-Definition Multimedia Interface) support. Could it possibly be true? Joystiq has reported Microsoft's GM of their game developer group, Chris Satchell, admitting that they have been “experimenting” with HDMI enabled 360’s. Satchell also went on to say it’s “not really a product that we're thinking about announcing". Experimentation does not necessarily mean a confirmation of release but I doubt Microsoft would invest the time and resources in “experimenting” if they were not planning to make it official in the future, especially considering that Sony is right behind them. In all probability, Microsoft would not confirm a hardware upgrade or price listing prior to production but I wouldn’t be surprised to see a similar model soon. This all sounds great does it not? Well, many have become upset over the rumored updated 360 and some for legitimate reasons.

Many have interpreted the rumors concerning the new Xbox 360 as proof Microsoft released an incomplete, inefficient console. Why should someone buy another 360 when they purchased their current system less than a year ago? Well, they shouldn’t, but not because Microsoft produced an inferior system.

Image courtesy Engadget

For those up in arms over these latest revelations you may now drop a few Quaaludes and listen to the latest Enya CD. The main addition to the revised 360 would be the new HDMI output port. The reasoning behind it is something that pertains more to the optional HD-DVD drive than anything gaming related. One can accurately assume that when the larger HDD has been released it will pre-date any new 360 hardware upgrade and be available as an add-on. The larger drive has come more by way of necessity rather than competition. With more than 100 million standard and HD media downloads via Xbox Live, the need for more disk space was apparent. MS has been aware of such an issue and will in all likelihood produce larger GB models. A larger HDD has not been officially announced but with Microsoft placing so much emphasis on media content via Live, the larger drive has become somewhat expected. The inclusion of HDMI is another story altogether. It remains to be seen how MS might go about solving this problem. Will they provide a hardware update whereby you ship your current console to Microsoft in exchange for a revised version while paying an established fee? Will it only be available for full retail purchase? Who is to know for sure with Microsoft declining to speculate on any release date or price for the new system? With that said, the question now becomes whether HDMI is required or is it even relevant?

The first thing we need in asking ask whether or not HDMI for the 360 is relevant is the total number of HDTV owners. Not every HD television comes with HDMI output. Today, more HD television manufactures are including HMDI output in anticipation of it becoming the new status quo, although years prior they were only available on higher end models. For arguments sake, we will assume all HDTV owners have HDMI support (a stretch by any measure). Leichtman Research has shown that one of every six United States households owns an HDTV. At first glance this appears to be a large number with nearly 18.5 million households. However, approximately 92.1 million households still do not own an high definition capable television, a substantial discrepancy at best. The average household income for HDTV owners is $89,500, while the average median household income as of 2003 was 43,318. As shown, the majority of people do not have a HDTV but most surveys indicate a large percentage of non-HD owners intend to purchase one in the next 1-3 years. This should demonstrate the consumer base for any high definition technology at the moment is fairly small.

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