The undeniable rumor, as expected, has come to be true and Microsoft’s Major Nelson has revealed September 5th as the day the Xbox 360 shall drop in price. Although not surprising, this is really the first good price drop for the 360 hardware which does not involve phasing out an old product line.
The price breakdown is as follows:
- Xbox 360 Arcade $199
- Xbox 360 $299
- Xbox 360 Elite $399
This is a US price cut, Japan had their price cut last week. We’re not sure about how the rest of the 360 regions will shake out, but they’ll probably end up with a price line much like the one above.
Anyone surprised? Anyone going to run out and buy a 360?
(Thanks, Gamestooge)

Why release a single block buster game with a two week pop when you can simply lower the price of your console and boost sales by 100%? That’s a question Sony may be asking themselves right now, as Metal Gear Solid 4‘s hype may have lasted years but the sales and console unit sale boots lasted a month.
The Japanese government has not allowed PlayStation Network to be activated for Japanese gamers yet due to security concerns, and now an expert is advising Australia to follow suit.
I have an extra 20 GB HD, so I might buy a second 360 for use as a DVD player (since the new Arcade machines come with the HDMI port.)