The answer is HD!!!!
I played NBA Live 06 on XBOX 360 and the graphics are amazing when it's a foul or something when the close-up of some player is shown, but when you are actually playing the game the graphics are not that spectacular. On the other I played some racing game on HDReady TV and the graphics were super I mean I was stunned!!!!
The Answer is High Definition!!!!
I'm glad I did not buy a 360!!
I don't know about the rest of the U.S.A., but here in Central Indiana, if you did not buy one on Launch Day, you haven't been able to buy one since - except through Ebay, etc. I think that is pathetic!!! The Games are $60 and there are not that many of them, but there are THOUSANDS of accessories you can buy!
I'll wait for the release of the PS3, and then I'm sure the price will drop on the 360 (if they have any to sell by then).
I have the 'old' Xbox, and I really am disappointed with it also! I should have known that since it was from Microsoft, it wouldn't work extremely well, but it would be successful!
Let's not forget the design problems which have led to a lot of XBOX360 machines overheating and blanking out. That's definately a serious start-up issue and bad press you don't need or want in this console war!
Man do you guy know ANYTHING about game system launches?!? Few developers jump into the ring and in the beginning and the ones that do don't know how to utilize the potential of a system's graphics. As time goes on, developers will get better at using the 360's full power and games will get better. For example...take a PS2 launch game and look at the graphics. Then put in a recently released game. You'll quickly see that it takes developers a while to learn how to program well for a system.
As for prerendered...PS3 E3 showing. Nuff' Said.