Microsoft Corp. this week released the trailer for the Xbox One S 2TB SKU.

The trailer previews the updated console.

The Xbox One S is a console 40 percent smaller than the current Xbox One and includes a 2TB hard drive, 4K Ultra HD video, High Dynamic Range, a streamlined controller and vertical stand.

It will be sold starting at $299 Aug. 2.

Xbox hardware revenue declined 17 percent in the first quarter due to lower Xbox 360 sales volume.

Xbox Live users increased 28 percent in the period to 39 million users.

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