Apparently limited compatibility:
Quote:
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Xbox 360 officially will be backward compatible with the prior system's top-selling games, said Microsoft's Vice President Peter Moore. Microsoft will pick and choose only the most popular Xbox titles from its huge backlist of games and will most likely use emulator software for those limited titles. - IGN.COM
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...the question is if and when will people start selling their xbox on the secondary market? Still plenty of gaming left in it but I could see the flood driving the price down to below $50 for the system and 4 controllers.
I wonder when game stores will stop taking trade ins.
Hardcore gamers and collectors will of course keep it but it will be interesting to see what happens on ebay.