I know Microsoft is losing money on each X-Box sold just to reap the profits & royalties from games but the losses on this baby would be huge.
Come on.
That's why the XBox 2 won't have a HDD - it was costing MS $50 / unit when XBox was first released.
Some of the information in that document is spot on, some is conjecture and some is rubbish. XBox 2 will have 512MB RAM (although if Sony decides PS3 will have 512MB then MS say they'll double it to 1GB.
There will be a custom IBM PPC CPU (not the G5, but an improved processor with extra instructions for 3D graphics - such as dot product in 1 line of asm) and it will have 3 cores, each with 2 execution units running at at least 3Ghz. The stuff about the ATI graphics is pretty accurate.
Edit: The release date definitely won't be this year - the final devkits won't even be with developers for another year yet - the ones developers are currently using are stock G5 Macs running a new version of XBox dashboard. AFAIR we're looking at next autumn in the US for the release.
