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Elite Won't Replace Premium or Core Skus
As the day has progressed, more information about the 'Elite' has become available. GamesIndustry.biz is reporting that the other two 360 skus will still be available. The Elite is not replacing either of them. Interestingly, there's no word on a price drop for them either. Major Nelson's most recent podcast has several interviews and details about the new offering, which you may find informative. There's more analysis available, if you find that interesting: CVG wonders aloud who is going to buy this thing, while a Wedbush Morgan analyst mentioned to GamesIndustry.biz that he thinks this validates the PS3 strategy. "'It appears to me that Microsoft sees the writing on the wall - Blu-ray is going to win the format wars ... Ultimately, Microsoft will likely offer a Blu-ray drive with the 360 Elite, and I think consumers will be able to select based solely upon other drivers.' Pachter also believes that although the Xbox 360 Elite will register with early adopters of hi-def content, the current 20GB model will still be sufficient for many consumers."
I work in a company that does open world games (and good ones actually). I have to tell you the "hobbling" isn't true. The 512 megs of ram that we have on the system is a bigger issue than anything that has to do with the media we are working on.
Blu-ray sounds great but what do you need to fill it with. As it is the amount of money we pay to get the game shipped now is a lot. Cost is what's stopping us from making bigger or more diverse games, rather then size of the media again.
The people who are hurt the most by this are the JRPG companies who just explode with FMVs, blue dragon is a 3 dvd game, other then them I've heard no complaints about the size of the media. Hell, The only reasons they are filling up Blu-rays are they are using "stupid" tricks like uncompressed audio for Metal gear solid. I just have a simple question. Now that both systems are out, and we already have seen that the 360's dvd has a higher read speed then the ps3's blu-ray device (overall blu-ray SHOULD be faster, but in these two actual system the 360's drive is faster). Why are you using larger files sizes rather then using the "extra" power of the ps3 to uncompress these files? The simple answer is no, the ps3 isn't that powerful (Insomniac today claims you have 8 cores? funny we only have access to 6 cores).
In the end blu-ray isn't going to be the answer. Sony's system has some good marks, but blu-ray isn't necessary, and the Cell processor is doing more to hurt the developer than it is helping it.
If anything the 360 developer's biggest problem has nothing to do with DVDs, it's due to the fact that the Hard drive is non standard and we can't guarantee using that for caching, but that's a relatively minor complaint in the long run.