Xbox 360 Price Cut Imminent, PS3 Cut Ruled Out

According to sources close to Microsoft, a price cut for its next-gen Xbox 360 games console is on the way. Although not officially confirmed, an ‘unnamed source’ told the Reuters news agency the 20GB model is to be slashed from $349 to $299 this coming weekend. There’s no news on whether the UK price will be cut, or whether other models of Xbox 360 will benefit from a price plunge, but past history would suggest the price drop will be across the board, with savings on all models in all territories.

Expect Microsoft to make an official announcement at E3 this week.

Sony, on the other hand, has ruled out a price drop for its struggling-but-improving PS3 console. According to the company’s chief financial officer Nobuyuki Oneda, “Our strategy is not to sell more quantity for PS3, but to concentrate on profitability. Our plan is not to reduce the price.”

Sony has been gaining ground on Microsoft of late, with the PS3 selling well in all territories, but if the Xbox 360 gets a price drop and the PlayStation 3 doesn’t follow suit, this situation could be reversed. The battle for the market-leading position in the current generation of consoles is far from over.