Xbox 360 price cut…kinda

 Microsoft have just confirmed what we all knew already announced that the price of the Pro 360 SKU is to drop from today from $349 to $299.

Don’t get too excited though – this is not really a drop – think of it as “stock clearance” – as they have also announced a 60-gig model. For $349.

The 60-gig model will be exactly the same as the old 20-gig, save for the bigger hard-drive, which Microsoft say is as a result of demand now that DLC and movie/TV downloads are all the rage on Xbox Live. The 20-gig model will be quietly phased out as they disappear from store shelves. There are no announced changes to the Elite or Arcade SKUs.

Redmond, Washington—Microsoft is giving consumers more gigabytes for their buck. The company today announced an Xbox 360® console with triple the storage space of the original console, but for the same price of $349 (U.S.) estimated retail price.

Available in retail stores in the U.S. and Canada starting in early August, the upgraded Xbox 360 will include a 60GB hard drive for storing the growing wealth of digital entertainment available for the console, including music, movies, television shows, and game content. In addition, Microsoft today dropped the price of its 20GB Xbox 360 console in the U.S. and Canada to just $299 (U.S.) (ERP) while supplies last, a savings of $50.

“We know consumers need more and more space to store the amazing digital content Xbox 360 offers, and we’re giving it to them at no extra charge,” said Albert Penello, Xbox director of product management at Microsoft. “No one device offers the depth and breadth of entertainment that Xbox 360 can deliver, and now you’ll have three times the storage to manage all that great content.”

Xbox 360 is just one of three Xbox 360 gaming and entertainment systems Microsoft offers. Microsoft’s Xbox 360 Arcade, which comes with a 256MB memory unit and five Xbox LIVE Arcade games, is a value for the whole family for $279 (U.S.) (ERP), and the premium Xbox 360 Elite console is available with a 120GB hard drive for $449 (U.S.) (ERP).

“Microsoft is giving consumers more gigabytes for their buck” – ha. We’re already paying $100 for a 20-gig hard drive that in the real world would cost about $20. So, in effect, you are now getting an extra 40 gig for your $349. Which would be cool…if it wasn’t that the now-reduced Pro 20-gig is $20 more than the Arcade – meaning for that you get the hard drive for $20. Tell me why the 40-gig one hard drive is effectively still costing $100 then? D’oh.*

So smoke and mirrors, basically, playing on the people who will wander into stores and see “PRICE CUT!! ZOMG!!” on the sticker and make a purchase without knowing that they could still pay too much for the console and hard drive pay the same as before and get more. Still, better than a kick up the ass, I guess.

No announcements yet as to any changes here in the civilised world Europe.

*lest you should misunderstand, I love my 360. I just think that Microsoft charges way too much above cost for it’s add-ons and peripherals.


  1. Posted August 1, 2008 at 5:11 pm | Permalink | Reply

    Very interesting blog, i have added it to my fovourites, greetings

  2. Posted August 4, 2008 at 4:59 pm | Permalink | Reply

    Thanks 🙂

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