It’s the most anticipated day for console gamers since the release of the original Xbox.  Consumer electronics shops across North America opened early this morning, many were even opened at midnight last night to usher in the new era in high-def console gaming.  Unfortunately for any potential walk-in customers there were no units available, sales of the console were pre-order only in all but the rarest occasions. 

Jack Black of Waterloo ON (no really) gets to test the game console he has coming the mail, like thousands of Canadian children, he’ll do without the highly coveted and pleasantly convexed silver box until Christmas morning.  But he is one of the lucky ones.  Many kids are going to do without what can rightly be called the greatest game system ever made (at least until next spring).  For these underprivileged children, victims of ever present shortages, scenes like the one below of the wall of spankin’ new Xbox 360 games and gear are just a tantalizing reminder.

Microsoft announced shortages months ago, stating they wouldn’t be able to fulfill the some three million units they expected to be able to produce before Christmas.  In the high stakes console gaming market every move is a gamble.  Perhaps the shortages themselves are another chess move in the game.  The release of a game system has to be perfectly timed.  Many believe the timing of 360’s release is too early, just four years after the release of original Xbox which is still selling.  The early release of 360 is also preventing it from including certain key next generation technologies to retain a competitive, cost effective edge.  The console will do without HDMI, and with Microsoft recently announcing its support of the new optical storage technology HD DVD, its inclusion seems like a no-brainer.  It’s speculated that an updated Xbox 360 might ship sometime next year that includes an HD DVD player but this would support movies and media only, not for games.  Microsoft wanted to squelch any rumors of an additional games platform before they could start.  Xbox 360 already puts developers through hurdles by making it mandatory they support both hard drive and non-hard drive 360’s, an optional HD DVD player would be just too much fuss for development of new games. 

Selling early puts Xbox 360 into a strategic position compared to nearest competitor Sony.  The strategy worked for Sony in ’99 with the release of the PlayStation2 which still dominates Xbox in sales.  But it did not work for Sega who released Dreamcast, the most technologically advanced console of its day, just before Christmas but was destined to be a huge misfire that took Sega permanently out of the console business.  Now it’s Microsoft’s turn to try releasing a game console in short supply just before Christmas.  Sony will release their PlayStation3 in spring of ’06 but Sony’s next gen console will include HDMI and a Blu-Ray player making it the most sophisticated console when it arrives. 

But is it necessary for HDMI support or a next gen optical storage device?  Probably not, component video is just fine for high definition gaming and so far we haven’t seen any gains to be had in picture quality by using an HDMI port.  Even with high resolution graphics that supports 720P at frame rates of 60Hz component will suffice, it’s not likely there will be any gains with HDMI, but we’ll reserve any final judgment until we can see both finished consoles in head to head competition.  A next generation optical storage tray (HD DVD) on a console released today would add unnecessarily to cost.  It would take years for developers to produce games that take advantage of HD DVD.  Will Microsoft pick up ground on Sony?  Or will Xbox 360 be just another Dreamcast?  The next phase in the struggle for dominance will be interesting.