Xbox price cut coming

[TheGame]

http://xbox.ign.com/articles/359/359190p1.html

The Xbox has had a pretty good first seven months. Having sold a reported 2 million consoles in America, things are not gloomy for Microsoft's Xbox in America. But recent price cuts in Europe and Asia began speculation that the American 'box might be next. While the console has performed well, sales have slowed of late. With Sony's recent statement that there would be no PS2 price cut, a drop in price for Xbox could provide a significant sales boost.

Reuters is reporting that several sources have confirmed Microsoft will announce a price cut of $100 during their Monday press conference at E3. The price cut would take affect later that week, dropping the system down to $199, the same as Nintendo's GameCube and $100 less than the dominant PS2.

Major retailers would not comment on the possible cut and neither would Microsoft. While a cut in price would mean a larger monetary loss for Microsoft with each Xbox sale, the upside may be far too appealing to ignore. Software sales drive the industry, and a larger install base would almost certainly lead to better software sales. If Xbox can show a good number of promising titles at E3, public interest in the console could dramatically increase just in time for the rumored price cut. Factor in that many consumers will be packing department stores next weekend for annual Memorial Day sales and it's hard to find a reason why Microsoft would not cut the price.

We'll have more on this possible price drop as new becomes available.

The Price wars have officially began

This is the last system I need, so I'm more happy about this price drop