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Xbox 360 gaming consoles Prices slashed by Microsoft

Saturday, April 18, 2009

It is not new news but I went through bbc.co.uk online magazine where I found some great news about gaming consoles which was prices down. It was September, 2008 when the news was published and according to the news Xbox models will drop by $50 its prices. Basic model will be cheaper than Nintendo Wii.

The price of Xbox 360 will be about half of PlayStation 3. It will be only for US then after for Japan but according to the Microsoft there is no plan to down prices in European country.

According to the Microsoft, “We wanted price of the basic model to dip below the psychologically important barrier of $200. About 75% of all console sales have been made below that price point.”

According to the above mentioned magazine, “The $199 price applies only to the Xbox 360 Arcade which has a 256MB memory unit on board rather than a hard drive. Adding a 20GB hard drive could add up to $90 to the total cost.”

In last August Microsoft had already announced that prices of Xbox 360 would fall in September in Japan. About the European country prices cut Microsoft announced, “Pricing is handled on a region-by-region basis. We do not have a price drop in this region to announce.”

Michael Pachter who is an analyst at Wedbush Morgan said, “They've got to make it up by penetrating more households and selling more software.” According to him it is the decision of Microsoft.

After the announcement it is being said in gaming consoles industry now, Nintendo and Sony will be out from the US gaming consoles market in competition of Xobx 360 consoles.

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