The Xbox 360 continues to be the leader for in-home gaming this Christmas season. Launched in 2005, the Xbox 360 has since surged ahead of rival gaming systems like the Sony Playstation 3 and the Nintendo Wii.

And the prices for the system have comes down. Initially the box was well over $300, but in a latest promotion Microsoft has discounted the price down to $199 back in September to further spur on sales.

The hugely successful machine has been home to popular games like Madden NFL 09, Gears of War 2, Grand Theft Auto IV and Guitar Hero.

The system can also connect online through Xbox Live allowing a true multi-player experience and it’s the only player that can stream over 12,000 video movies from NetFlix.

As with the Holiday Season upon us, Microsoft is releasing the Xbox for under $199 with a free six-games bundle which includes Sega Superstar Tennis plus five more Xbox Live games. The Xbox Elite system, priced higher, also offers a free games pack.