Microsoft cuts Xbox 360 price in US

Microsoft has confirmed an expected $50 price cut on the Xbox 360 console in the US but is refusing to say whether UK gamers will see any reduction.

An Xbox 360 Premium will now cost $350 while the basic Core package will cost $280. This is the first price cut Microsoft has made on the console since it launched almost two years ago.

The cuts are designed to make way for the recently launched Elite version of the console which is selling in the US for $449. The new prices come into effect tomorrow.

Core and Premium consoles in the UK cost £199 and £280, respectively. The Elite version is due to launch in the UK on 24 August 2007 and will cost £329.

Microsoft is keeping quiet on any European cuts but it might be saving up its news for next week’s big Game Convention show in Leipzig.

“The fact that we have been able to keep our launch price longer than any other console while retaining our leadership position demonstrates that consumers believe in the value of Xbox 360,” said Mitch Koch, corporate vice president, Global Retail Sales and Marketing Group, Microsoft.

The latest version of the Xbox 360, the Elite, comes in black, sports a 120GB hard disk drive, HDMI port and cable.