Microsoft finally revealed to select press it's HD-DVD add-on for Xbox 360, revealing a somewhat ugly satellite unit sat atop the now-familiar home console. The showing does put to bed the issue of how the 360 will combine with the add-on, though even the most ardent 360 fans will admit that the final solution isn't exactly ideal.
As you can see in the pics from CNET
the HD-DVD drive apparently requires a further unknown unit that seems to bridge the console and the player. Microsoft did explain, in rough detail, how the machine works. The drive is just that - a drive - which sends a raw datafeed into the Xbox 360. All video processing is performed inside the Xbox console.
Microsoft did not offer a release date other than to confirm again that it plans to have the device on store-shelves in time for Christmas. No price was disclosed, though Microsoft representative Kevin Collins, senior program manager on the project, did say it would represent one of the cheapest HD-DVD player options through the launch of the technology and beyond.