Microsoft Lowers Xbox 360 Elite Price, Cuts Pro Model

Microsoft is lowering the retail price of two of its Xbox 360 console SKUs, with the announcement coming just one week after Sony dropped the price of its PlayStation 3. As of Friday, August 28, the Xbox 360 Elite with a 120GB hard drive will receive a $100 price cut to $299.99, the same price as Sony's current PlayStation 3 and upcoming redesigned model. The Xbox 360 Pro with a 60GB hard drive will drop $50 to $249.99, but the system will be phased out as its current stock depletes. The Xbox 360 Arcade model, which includes a memory unit and no hard drive, will retain its $199.99 price point, keeping the baseline price for Microsoft's console unchanged. One way the Elite model is trimming its price tag is by lightening its load -- the console will no longer be bundled with a digital HDMI cable, but will include the standard analog composite and component cable. Although Microsoft's Project Natal device has not yet been given a release date, Interactive Entertainment Business exec Shane Kim used the occasion to pitch the motion-sensing camera system. "If you're looking for deep experiences that don't require deep pockets, now is the time to purchase an Xbox 360," claimed Kim. "We've got the best games, a vast library of TV shows and movies, new music experiences, more ways to connect friends and family, and so much more on the horizon including 'Project Natal' -- no controller required." [UPDATE: Microsoft also confirmed that, beginning on August 28, it would cut the price of the 120GB Xbox 360 Elite by £30 to £199.99 in the U.K. But the company said it would be raising the price of the hard drive-less Xbox 360 Arcade by £30 to £159.99. The 60GB Xbox 360 Pro model will be phased out.]