The newly branded Core comes with 5 Xbox lIve Arcade games (Boom Boom Rocket, Feeding Frenzy, Luxor 2, Pac-man Championship Ed and Uno), 256MB memory unit (sorry no hard drive), wireless controller and supports HDMI output.  The five arcade games are the full versions and come on a separate game DVD.  The console is available for $279 in the US and is available today.  The 360 Arcade will be in Europe on October 26th for £200 in the UK and €279 for the continent.

The big deal here is this is an affordable Xbox 360 that will include everything someone needs to play games.  There is no need to buy a memory unit or games.  You get a wireless experience along with an HDMI output.  The HDMI output is the real big ticket item for the tech savvy.  This unit will allow you to upgrade your 1st or 2nd generation 360 to get the HDMI enabled version and most likely the cooler running CPU and quieter DVD drive.  I would not be surprised if people start trading in their old 360's for this new and improved Core.