Microsoft Officially Slashes Xbox 360 Prices

As we predicated, and as everyone knew, Microsoft has officially cut the prices of its XBox 360's to better compete with Sony's recently price slashed and more slim 120GB PlayStation 3.

Microsoft will be discontinuing the Xbox 360 Pro which was originally priced at $299 and will now be priced at $249 to get rid of the model more quickly. The Xbox 360 Arcade will remain at $199 but the Xbox 360 Elite will drop $100 bucks from $399 to $299 but the downside of the price cut is that the Elite will no longer come with the HDMI cable.

"With the holiday season right around the corner, it's already time to start looking for entertainment and gifts that everyone will enjoy," said Shane Kim, corporate vice president of strategy and business development for the Interactive Entertainment Business at Microsoft Corp. "If you're looking for deep experiences that don't require deep pockets, now is the time to purchase an Xbox 360. 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."

The new prices will take affect this Friday August 28th, 2009.