Microsoft announced new hardware offerings for the Xbox 360 Monday at the Game Developers Conference in San Francisco. Microsoft will soon release 512 MB memory units for the gaming console, as well as lower the prices on smaller memory units. The larger memory devices will allow users to download content from Microsoft's network of Xbox 360 kiosks in retail stores.

At the Game Developers Conference in San Francisco, Microsoft on Monday announced the upcoming launch of a 512 MB memory unit for the Xbox 360  video game console.

The company also said it will bump up the "official size limit" of games presented on its Xbox Live Arcade game site from 50 MB to 150 MB.

The Redmond, Wash.-based console maker said the device will become available worldwide April 3. Xbox 360 gamers in North America can pick up the new memory unit for US$49.99. Microsoft also said it will include Bizarre Creations' "Geometry Wars: Retro Evolved" preloaded on the device. Prices of the 64 MB memory unit will drop from from $39.99 to $29.99.

Just in Time
The increased storage comes just in time for Xbox Live Arcade users. The size of the games on the companion site will also increase from 50 MB to 150 MB.

That, according to the game maker, will give developers greater flexibility  in game design and expand their ability to add advanced features while still keeping the games small in size.

"As we prepare to launch our first Xbox Live Arcade game, 'Boom Boom Rocket,' we're able to see how dynamic and creative this platform is," said Chip Lange, vice president of Online Commerce for Electronic Arts. "Having 'Wing Commander Arena' on Xbox Live Arcade allows us to take full advantage of the online play and bring to life a 16-player online arcade experience that delivers unparalleled arcade action."