The Xbox 360 will cost $299

That’s the price for the pack with the console, a controller and the cables. Another pack that includes the hard drive will cost $360.

The hard drive is supposedly there to maintain the compatibility with the previous console as some games relied on it. It could also serve as a repository for multimedia files such as MP3 and Video files. Photos and specs have been leaked (by Microsoft I suspect) previously and can be found all over the web. (via firstadopter)

More Xbox360:
Live photo – Custom faceplates - Specs – Xbox Live