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According to Eurogamer, Microsoft has announced that the Xbox 360 120GB hard drive has now been discounted to €129.99 ($180) in Europe and £79.99 ($125) in the UK. Curiously, the Microsoft representative appended "while supplies last" to the announcement, implying that the 120GB won't be around for much longer. This news comes on the heels of a standalone 250GB hard drive being announced for Japan. When asked whether that drive would release outside of Japan, Microsoft informed Joystiq that it had nothing to announce at the time.

If the separate 250GB drive did become available elsewhere and the 120GB were discontinued, consumers would have to choose between 60GB and 250GB add-ons. As Microsoft's typical strategy has been to replace the lowest end of its hardware spectrum, it would make more sense to discontinue the 60GB drive instead.

Then again, as we've learned time and again, sometimes that strategy can be typical Microsoft.

Update: When asked whether the 250GB drive would release outside of Japan, Microsoft has informed Joystiq that it has "nothing to announce" at this time.

Microsoft has announced (translation) that it will release a standalone 250GB hard drive in Japan later this year. The drive – which carries a price tag of ¥15,540 (~$170) – is set to be released on March 11. On the same day, the company will also be releasing the Wireless Controller Game Pack and the Xbox 360 Wireless N adapter.

This will mark the first time that Microsoft has released the 250GB hard drive as a standalone product. Thus far, the 250GB model has only been available as part of certain bundles such as the Modern Warfare 2 bundle released in 2009. Previously, Microsoft's Albert Penello noted Microsoft didn't have any specific plans to release the 250GB drive by itself, though he did note the possibility. While this particular drive is currently slated only for Japan, it seems likely that other territories will follow.

We've contacted Microsoft regarding any North American or European release plans and will update this post with any new info.

We'd heard before that Korean developer Blueside (of Ninety-Nine Nights and Kingdom Under Fire) was working on a sekrit massively multiplayer game called Project T for the PC, but now we've learned that it's also planning to release the game on the Xbox 360. A Korean job listing for the company says that the MMORPG is in development for both platforms, and asks for game programming skills of all kinds, including experience working on commercial MMOs.

The game is supposed to be an "action RPG," so it actually sounds like a pretty good fit to try for the more action-friendly console world. The job listing specifies a contract time of one year (though that seems pretty boilerplate in these situations), and the MMO was last scheduled for a release sometime in 2011. The company's also working on some MMO-style gameplay for its upcoming Kingdom Under Fire II.

Microsoft is rolling out some new ads for the Xbox 360 in Japan. Spotted on the Japanese Xbox.com and featuring a trio of businessmen, the ads certainly represent a big departure from the "Do!Do!Do!" ads of yesteryear. The three suits include "Sanrokumaru" (translated 3-6-0) a man with an Xbox 360 sphere for a head. Together, the group forms the Xbox Special Division, which goes forth in order to obtain big name titles for the Xbox 360. One such title is Monster Hunter, which has already been announced by Capcom for the console.

In fact, at end of the Monster Hunter ad -- embedded after the break -- the text translates as "XXXX is next!" and then fills in "XXXX" with "Monster Hunter." As noted by Andriasang.com, the promotional site has several spaces filled with Xs, implying that Microsoft has some other game announcements up its sleeve.

[Via Andriasang.com]

Ah, the Red Ring of Death. Most cursed malady of this console generation, maligned by the casual and the hardcore alike! But for all the frustration the Xbox 360's three lights of crimson chaos have caused, here's a little good: If it weren't for a certain RRoD in Florida, one Michael Dunbar would never have been brought to justice. Dunbar was accused of stealing the console and pawning it off to a shop, but without the serial number, police told the victim that they couldn't bring him in. Fortunately, the victim's grandmother suddenly remembered she'd sent the system in for an RRoD, and a phone call to Microsoft later, they got a serial number, Dunbar was arrested by the police, and we assume the console was returned to its rightful owner.

Little consolation, we're sure, for the eight painful weeks you had to wait while your Xbox was sent back to Microsoft for repairs (two separate breakdowns for me personally). But it's good to hear that someone somewhere has been helped by Microsoft's RRoD exchange process.

We've heard from a few non-Microsoft sources that the Xbox 360 is heading for an extremely long console cycle, but last week's CES found Microsoft saying exactly that. David Hufford of Xbox product management mentioned during a briefing that the 360 is "the console of the long future for us," and that he doesn't yet know "if we're at the midpoint" of the console's timeline. Which sounds pretty amazing, since the console actually released in 2005, but the numbers support that theory, with adoption only recently passing the rates of the last generation.

In other words, the mad dash from 8- to 16- to 32- to 64-bit and beyond gaming has apparently relaxed for the moment, and Jack Schofield of The Guardian says it's because all three major companies at the moment (Microsoft, Sony and Nintendo) have all achieved a viable place in the market. Without feeling constant pressure to outdo each other, the major console companies can settle into their own niches and expand their own markets. Which, as Hufford said at CES, is exactly what Microsoft is planning to do in the coming "Natal era."

We haven't heard much about Backbreaker in a good year and a half, but the Euphoria Engine-powered football title (thinkThe Force Unleashed, with all of those Stormtroopers flying around) is still hitting first downs. It's now set for a release in spring of 2010 (ah, spring, when everyone's mind turns to football -- oh wait), and 505 Games has screenshots and a brand new trailer to share.

The game will boast both online and split-screen multiplayer, Arcade and Pro modes (the tougher one will have AI and visual assists switched off) and full team customization options, including a full logo editor. But of course the real star quarterback here is the physics engine -- while the video hints at some great dynamic tackling and movement, we'll have to wait and see if the gameplay provides some real innovation in the football genre.

We love seeing videos like the one after the break, wherein a child expresses a joy that we'll spend most of our 30s and 40s fruitlessly trying to recapture. But, as this little boy receiving an Xbox 360 on Christmas morn demonstrates, it's possible to go too far.

See if you can pinpoint the exact moment his family switches from amusement to realizing that their child is going to spend a lifetime waging a crippling battle against mental illness.

[Via Gizmodo]

If you read the first installment in the latest installment of "Pachter Predixx," you already know that the analyst's new report praises the PS3 for its resilience during these troubled times. According to the report, the PS3 saw an 85-percent year-over-year sales increase in November, while the Wii and Xbox 360 suffered sales declines. This reversal in fortune leads Pachter and his Wedbush associates to a surprising conclusion: "We think that the PS3 will again outsell the Xbox 360 in November and December, prompting a price cut some time early next year."

Pachter adds that while Microsoft "has the ability to lower price yet again," it probably won't do so until "it begins to lose significant market share to Sony." As with all conjecture -- even when delivered by professional conjecture conjurers -- we suggest considering Pachter's educated guess as just that: a guess.

According to Microsoft's Aaron Greenberg, Xbox 360 sales saw a serious increase thanks to the post-Thanksgiving shopping madness known as Black Friday. While Greenberg doesn't disclose specific numbers, he notes in a recent tweet that Black Friday granted the Xbox 360 its "biggest sales week of the year," with Microsoft selling over twice as many units than the previous week. That certainly sounds like a lot, though the average weekly sales in October -- based on NPD figures -- were slightly above 60,000 units.

Assuming November's weekly average was similar, Microsoft certainly didn't come close to topping Sony's impressive Black Friday total of 440,000 PS3 consoles. And let's not forget Nintendo's Black Friday success: 550,000 Wii consoles and DS / DSi sales in excess of one million units. Rest assured we will break down the exact November numbers once the NPDs shake out later this month.

[Via Gamasutra]

Though the BBC iPlayer is already available on the Wii and PS3 overseas, it seems a disagreement between the television corporation and Microsoft will keep the platform off of the Xbox 360 for the time being. According to a recent Telegraph article, sources close to the BBC's Future Media and Technology department claim that Microsoft's desire to make the iPlayer a Gold Subscriber-exclusive feature is "incompatible with the BBC's public service remit."

An unnamed BBC representative reportedly explained, "this does not fit with the BBC's model and Microsoft will not budge at the moment. It is really frustrating for those involved on the BBC side who want to make sure iPlayer is rolled out on as many popular entertainment platforms as possible." We've contacted Microsoft to hear the other half of the story.

Cruising the Twitters, as we are wont to do, we stumbled upon a revelation, courtesy of one Major Nelson. That revelation: Today is the fourth anniversary of the launch of the Xbox 360. Yes, just four years ago, on November 22, 2005, the Joystiq universe was just buzzing with excitement. There were freezing cold lines to wait in, boxes to open and new games to play -- in fantastic HD resmolutions! And then, of course, it began.

Check out a sampling of our Xbox 360 launch coverage after the break.

After being banned from the PlayStation Network for hateful comments stated in Resistance's online community, Erik Estavillo launched not one, but two, lawsuits against Sony for infringing on his "first amendment rights" -- an argument that was shot down by Judge Ronald Whyte simply because "Sony is not part of the government."

However, what Estavillo lacks in civil online discourse, he makes up for with sheer determination and persistence. In addition to Sony, he now has both Microsoft and Nintendo in his sights. Estavillo is seeking $75,000 from Microsoft for the "undue stress" and "sadness" caused by his Xbox 360's RROD. "Microsoft should have to bear the burden that is now put on the shoulders of this disabled plaintiff," his claim states -- a burden that is equivalent to the sum of 375 Xbox 360 systems, apparently. Nintendo is being sued for interfering with Estavillo's "pursuit of happiness." And how exactly is Nintendo doing that? "Deleting, blocking or prohibiting the Homebrew Channel and Ocarina applications" via a system update.

We're hoping you can see the sheer brilliance of Estavillo's strategy. He's offering the perfect opportunity for PlayStation, Xbox and Nintendo fans to agree on something for once.

In a positively baffling announcement, Microsoft's Major Nelson has tweeted that Xbox Live has reached a new record: Two million simultaneous users. That means two million people were logged into Xbox Live at the same time earlier today. The puzzling question is this: What in the world could have possibly driven so many people to sign synchronously onto Xbox Live? We can only assume that people are taking part in some seriously heated matches of Dragon Ball: Raging Blast. Barring that, it could be that the Final Fantasy XI Ultimate Collection has brought thousands back into the fold.

We just don't know what else it could be.