Microsoft Corporation is targeting the video gaming and entertainment systems market in India.

The company will launch its latest offering 'Xbox 360' in the Indian market in the Diwali season this year, said Mohit Anand, Microsoft's entertainment and devices division's country manager, here Wednesday.

The Xbox 360 core system would cost Rs.19,990, while the Xbox system would cost Rs.23,990. The product would offer digital entertainment experience.

According to estimates, India has 1.6 million gamers. The AC Neilson study values the Indian gaming market at US$ 50 million, Anand said.

The company would target gamers in the age group of 14-35 years. The games would carry the Australian age rating system, he said.

Microsoft is talking to financial institutions for financing the interested consumers in India.

It has launched the Xbox 360 in North America, Europe, Japan, Australia, Columbia, Hong Kong, Korea, Mexico, New Zealand, Singapore and Taiwan.