Xbox 360 Cutting Price Cutting…Huh?

For those that ran out to pickup a 20GB Xbox 360 for the low low price of $299… sit down. This may hurt a bit. Their is a new rumor stating the Xbox 360 is undergoing another price cut, for all consoles in their full array of consoles.

Let’s just get this over with quick:

  • Arcade (no hard drive) to $199
  • Pro (60GB) to $299
  • Elite (120GB) to $399

This is a highly competitive price cut making the Xbox 360 much more desirable, a price closer (and in some case beating) the Nintendo Wii. Imagine, a graphically powerful console for a price near that of the “last generation” graphics of the Wii.

Of course, those purchasing a Wii aren’t buying it because you’re saving money on a next-generation console. In the end, if this price cut is real, we’re seeing the next-generation console market really dropping to some realistic figures.

Bad for Sony, considering they’re still trying to make money on their expensive box. No doubt Sony’s in this for the 10-year plan but if they can’t keep competitive with Microsoft people may ignore you for the next 10-years because it’s too costly.

(Thanks, Kotaku)

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Ensemble Studios, owned and operated by Microsoft or, Microsoft Games Studios, has been targed to be dissolved. All employees will find new homes, a large quantity will start a new studio and continue maintaining the later released Halo Wars franchise.

Microsoft has chosen to close the studio as part of their growth plan of Microsoft Games Studios much like FASA was closed in the past. The difference, there is a new landing point for Halo Wars unlike the uncertain future of Shadowrun.

Commenting on the reason for the closure, Microsoft said, “This was a fiscally rooted decision that keeps MGS on its growth path. While the decision to dissolve Ensemble was not an easy one, Microsoft is working to place as many Ensemble employees who do not move to the newly formed studio into open positions within Microsoft as possible.” (gamespot)

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If you’re considering the Xbox 360 console, or plan to buy the Xbox 360 Arcade Edition for USD $279.99 please take pause, until the Xbox 360 20GB models dry up, you can now purchase them for USD $299.99. As Microsoft has bluntly stated, get them “while supplies last.”

We’re sure Microsoft is going to take a hit in Arcade sales while these supplies last, but that’s the sacrifice you make for drying up a console SKU and removing it from the market. So, while you can save $50.00 now, you’ll also be able to get a new 60GB model for the same price as the original Xbox 360 Preimum at USD $349.99.

You’ll still be able to purchase the Elite for its epic price of USD $449.99 if you really need the larger disk capacity (120GB). This is an official statement, leading up to E3, so we’ll have to see what Microsoft plans to announce at the event.

Will Sony respond to the price cut now that this is official? Probably not, as the Elite price is the same, the only concern Sony may have is the disk capacity comes closer to their high end console solution.

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