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Xbox Price Cut Coming


Xbox Price Cut Coming

Microsoft plans to lower the price of its Xbox game console in coming weeks, according to The Dow Jones Business News. The move is intended help the company compete better with Sony during the summer season, a time when sales of units and games is typically slow.

The price cut may also help Microsoft compete for game developers and expand the number of titles available for the Xbox. The company introduced the unit more than a year after Sony rolled out its PlayStation console and has been playing catch-up ever since. A year ago, Microsoft followed Sony’s lead and lowered the price of the Xbox from $199 to $179. The next discount is expected to lower it to $149 in early April.

Nintendo still leads the pack on price tag slashing. The company dropped the MSRP of its GameCube console to $99 over the 2003-2004 holiday season and saw a major sales increase, outselling the Xbox by more than a million units since December.

While the new Xbox pricing could put pressure on Sony to make the PlayStation 2 more affordable, the PlayStation brand leads the market by such a wide margin that Sony is less likely to resort to price-war maneuvering.

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