Ladies and gentlemen, start your wallets.  Microsoft has officially announced the pricing plan for their upcoming Xbox 360 console and it's not going to be cheap.  Joystiq has word from the registration-required LA Times that $299 will get you a basic Xbox 360 with one wired controller, while for $399 you can pick up the console, 20 GB hard drive, wireless controller, headset, and remote control.

Personally, I've never paid more than $200 for a video game console and I'm not so eager to start now.  While the current generation of Xbox has some titles that have snagged my attention, I've never felt the need to invest in an Xbox just to play them.  The same goes for the 360 at this point, although Resident Evil 5 could be my weak spot depending on how that title ends up.  No matter what happens, for those high prices Microsoft should at least pack in a game, even if it is a current generation Xbox "greatest hits" title.

The $299 price tag for a bare bones Xbox 360 seems to be a compromise to draw in people who don't want to pay the higher price to get all of the extras.  However, those extras are core to what Microsoft keeps reiterating as the Xbox 360 experience.  It's also a built-in upgrade motivator, I think.  People on the fence about the 360 can buy the "cheaper" version, then find themselves drawn into wanting more accessories, leading to a purchase of the $399 model.  This is pure speculation on my part, but who wants to be we'll see a $499 model somewhere down the line that includes TiVo-like capability and the HD-DVD drive?