Microsoft to cut prices on X360.

[pk500]

Re: Microsoft to cut prices on X360.

Bingo, sort of. I would expect the cut right after Christmas though since I would guess MS would rather cut into Sony's market share more than they want to pocket a few extra dollars per console for as long as possible. If the 360 is $350 (speculation) and there are a growing batch of games out there that can be had for less than $60 it makes the console even more attractive when it's $250-300 more for a PS3 and a game.

The big question will be how much MS wants to slit Sony's throat.

A $50 price cut still will allow MS to make money on each 360 it sells, but it's not that big of a price drop. A $100 price cut will cause MS to lose around $25 on each 360 it sells, but a $299 price tag for a Premium would be a significant discount for the customer and a very tangible difference in price from a PS3. Plus I think MS could make up that $25 loss per 360 sold -- and then some -- next year by further refining manufacturing processes and by more efficient parts sourcing.

Take care,
PK

[CaptainZombie]

Re: Microsoft to cut prices on X360.

Is E3 in May in 2007? I thought E3 was radically decreasing in size in 2007 since it has been overrun by gamers and the general public in the last few years, eliminating its original intent as a trade show.

Take care,
PK

It's in July next year.

[CaptainZombie]

Re: Microsoft to cut prices on X360.

The big question will be how much MS wants to slit Sony's throat.

A $50 price cut still will allow MS to make money on each 360 it sells, but it's not that big of a price drop. A $100 price cut will cause MS to lose around $25 on each 360 it sells, but a $299 price tag for a Premium would be a significant discount for the customer and a very tangible difference in price from a PS3. Plus I think MS could make up that $25 loss per 360 sold -- and then some -- next year by further refining manufacturing processes and by more efficient parts sourcing.

Take care,
PK

Yes, they would be losing $25 per premium if they were to be sold at $299. But would make up for it by the sales of accessories and games. To have a $300 jump on the competition would really hurt Sony.

[23]

Re: Microsoft to cut prices on X360.

From what Im hearing, the price should be around 300 bucks for the premium. Also probably around the time they'll release the new HDD, around next spring.

[dave360]

Re: Microsoft to cut prices on X360.

My best guess is that it will happen in March, since that's when PS3's are supposedly not going to be hard to find anymore and when the PS3 launches in Europe.

[pk500]

Re: Microsoft to cut prices on X360.

Interesting follow-up story to NextGen's report yesterday about Robbie Bach's comments regarding an Xbox 360 price drop:

http://www.next-gen.biz/index.php?option=com_content&task=view&id=4276&Itemid=2

This story offers industry analysis of whether and when MS will drop the Xbox 360 price or offer other enhancements.

Good reading.

Take care,
PK

[Double Eights]

Re: Microsoft to cut prices on X360.

Has there been any updates on whether or not there will be a price drop? I want to buy a 360 as soon as possible, but if a price drop is coming, i'll wait. I was going to ask my parents to go 50-50 on a 360 for christmas. However, If the xbox360 drops in price soon, i'll shell out the full 100% for the game on my own.

[Rodster]

Re: Microsoft to cut prices on X360.

Has there been any updates on whether or not there will be a price drop? I want to buy a 360 as soon as possible, but if a price drop is coming, i'll wait. I was going to ask my parents to go 50-50 on a 360 for christmas. However, If the xbox360 drops in price soon, i'll shell out the full 100% for the game on my own.

Nope, not until next year.

[jgo777]

Re: Microsoft to cut prices on X360.

Has there been any updates on whether or not there will be a price drop? I want to buy a 360 as soon as possible, but if a price drop is coming, i'll wait. I was going to ask my parents to go 50-50 on a 360 for christmas. However, If the xbox360 drops in price soon, i'll shell out the full 100% for the game on my own.

I would bet the earliest we see a price drop is next summer, but I wouldn't even be too sure about that. There are enough 360 exclusives coming out next year (including Halo3) that MS may not feel the need to drop the price anytime soon.