With all the talk of theXbox 360 pricing and how Microsoft could possibly make profit and still sell the 360 at a decent price, some new information has come along to kind of answer that question. Back in May when Microsoft started to reveal information about the 360, they also said there would be some specific requirements for3rd party accessories. Now, they are following up this statement by instituting a new royalty policy. This policy falls into place for quality reasons as well as this will allow them to make money off of the 360. Basically,3rd party manufacturers need to officially license their products by paying a fee to Microsoft along with royalties. Microsoft is so serious about this, they are even implementing security measures into the 360 only allowing licensed products to actually work with the system.

“Microsoft has made it very clear that it’s all about profitability” with this generation of console, said IDC analyst Schelley Olhava. “Maybe this is a way they are looking to make additional revenue off of the Xbox.” But, she said, the move could also be intended as “a way to ensure quality products make it out the door,” reasoning that makers willing to pony up a share of the proceeds would be the kind of companies that make more reliable gear.

Read More | News.com