Hardware: The Xbox 360 has some fairly impressive hardware. The Processor is a tri-core power PC developed by IBM. The tripple core gives it a good boost for handeling multiple objects on your screen at one time. The Memory is well handled to keep the system from bottle necking. and the GPU(Graphics Processor) is still considered one of the best on the market. The Xbox360 also Utalizes a DVD player for playing games and watching movies. It does upconvert DVD movies to a higher resolution which is a benafit for those with a big screen T.V. And finally You possibly have a hard drive depending on when you bought the system and what SKU you have. The Xbox360 has had some Hardware Issues Thought. This is also known as the Red ring of Death. Most of them have been cleaned up or fixed in it's 2 year exsistance but it has hurt the console in consumer confidence. It also has the now failed HD-DVD add on drive. Not that it was a bad product. But many have expressed the desire for it to have been integrated into the Console it's self instead of being an externial perifial.
Games: Currently the Xbox360 has the most games out. The Xbox brand is known mostly for it's FPS(First Person Shooter) games. Although they do have many other good games. Like Dead or alive, Saints row. and Project Gothem Raceing. But the biggest hit titles for the Xbox have been it's FPS. 
Most notably The Halo Franchise. Halo is one of the Best Selling franchises of all time alongside those other famous characters like Sonic, Pacman, Mario, and other big game Icons.
The Xbox Brand is also very well know for it's online system. Xbox live is one of if not the most popular online community out there. There is a small fee, But if you are an online gamer it is worth the money.
Networking: The Xbox 360 does have a ethernet port on the system but if you have a wirless network you will have to pay a premium for the seperate wireless adapter. So I would have to recommend that if you can, you will want to hardwire the Xbox 360 to your network. but another good thing about the Xbox 360 is it's ability to become a media extender on your network. Meaning that you can listen and watch all the Music & movies on you windows based PC. This is actually one of the big selling points for the Xbox besides the games.
Conclusion: The Xbox 360 has some great things to it and some not so great things depending on how you look at it. The lack of a hard drive as standared is in my opinion an downgrade for the originale Xbox. The HD-DVD not being intigrated and not used for games is also a possible downgrade to the system and potentially hurts future game development. Although that is not a definate and still has yet to be seen if it will be a hinderance or not. Most of the Xbox 360's originalle issues was Microsoft trying to beat Both Sony and Nintendo to market. Some of the features feel rushed and un-polished. But this does not take away from this being a great console. So depending on what types of games you like to play and what game franchises you like to follow the Xbox 360 is a good choise in the end.
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