Quote Originally Posted by Traveler
Perhaps a silly question but does this mean we can develop for Xbox 360?
In theory, that is the case.

Taken from a google ]
The cash cow is XNA Creators Club, an Xbox Live-hosted service that Microsoft hopes budding developers will turn to for help, white papers, game assets offered not only by Microsoft but also by third-parties, forums and the like. More to the point, coders won't be able to deliver games to Xbox 360 owners without coughing up to Microsoft.

In addition to the $99 annual subscription, purchased through Xbox Live Marketplace, Microsoft is also offering a $49 four-month sub. Membership will allow developers to offer finished games through Xbox Live Arcade.

Downloaders will require a console fitted with a hard drive and likewise be an XNA Creators Club member, Microsoft's XNA FAQ reveals. That's because creators don't share the game but the assets and source code, which the recipient must then compile into an Xbox 360-friendly format. Xbox 360 games must be offered on non-commercial terms, Microsoft added, though XNA can be used to develop commercial titles for Windows.

"Games developed using XNA Game Studio Express cannot be shared through a memory card or CD/DVD at this time," the software giant warned.
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Someone would need to investigate this further. I would if I had an XB360 but I don't and only plan on getting a PS3 when that is released in the UK.