August 27, 2009

Xbox Drops 360 Elite Price By $100

Microsoft announced Thursday that it would cut the price of its Xbox 360 Elite by $100.

The price reduction will make the 120GB Elite model drop to $299, matching the new adjusted price of the PlayStation 3.

Microsoft said the price for the 60GB Pro model would drop to $249 while supplies last.

According to USA Today, the announcement means that Microsoft will soon be selling just two Xbox 360 models: the 120GB version and the $199 Arcade version which comes without a hard drive.

"It really makes the decision for consumers a lot easier," said Microsoft spokesman David Dennis. "They're either price conscious and they gravitate toward the Arcade or they the want the full Xbox 360 experience."

Dennis added that the price drop was not in response to Sony's move last week.

In the US, the Xbox has been the only console to see growth in terms of sales, with a 17 percent increase. But it still trails behind the leading console, Nintendo's Wii.

Nintendo spokesman Yasuhiro Minagawa told Reuters that the company does not have such a plan that would drop the price of its console to increase competition.

Microsoft's price cuts will go into effect on Friday, Dennis said.


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