Infineon Technologies AG and Microsoft Corp. on Monday revealed that Infineon would provide a set of chips for Microsoft’s Xbox 360 gaming console, including memory units, security processor and a chip for the console’s wireless controllers.

“Collaboration with leading suppliers of semiconductors and electronic components is essential to the realization of Microsoft’s vision to deliver entirely new capabilities in consumer entertainment. Infineon’s broad and complementary IP portfolio, system integration skill, manufacturing expertise and proven track record were crucial factors in our decision to work with the company on these components,” Marc Whitten, director for Xbox Peripherals at Microsoft, is reported to have said, according to Team Xbox web-site.

Infineon will supply removable solid-state memory units for the Xbox 360, for which the company had created a special memory controller, system print-circuit board as well as embedded software. Additionally, Infineon will provide Microsoft its single-chip application-specific integrated circuit (ASIC) for wireless controllers. Finally, Infineon’s advanced security chip featuring the company’s authentication technology.

Microsoft Xbox 360 console is based around microprocessor developed by IBM, high-definition visual processing unit designed by ATI Technologies, I/O controller engineered by SiS and some other key components. The gaming machine will provide a broad set of multimedia capabilities in addition to games.

Depending on the bundle, Microsoft Xbox 360 will cost $299 or $399 and will be available this holiday season.