Microsoft Plans to Cut Xbox 360, but not at E3 Options

[Xbox-Scene]

Microsoft Plans to Cut Xbox 360, but not at E3 Posted by XanTium | July 11 13:08 EST | News Category: Xbox360

From bloomberg.com: [QUOTE] Microsoft needs to lower Xbox's prices, ranging from $299 to $479, to increase sales and lure customers who aren't interested in traditional combat and racing video games, Shane Kim, vice president of Microsoft Game Studios, said in an interview. He declined to say when a price cut may be announced. It won't happen at this week's E3 games conference, he said. ``We need to compete effectively for that customer and part of that is getting to the mass market price point for the console,'' said Kim. ``We definitely are working on that area.'' ``A price cut would give the Xbox 360 an advantage over its rivals, particularly in North America where you have a choice of consoles to play the same game,'' said Etsuko Tamura, an analyst at Mizuho Investors Securities Co. in Tokyo. ``There's a lack of Xbox titles in Japan so a price cut here would have no effect.'' [/QUOTE] Full Story: bloomberg.com

[capboy210]

Maybe in a month? This year would be nice.

[twistedsymphony]

I originally predicted PAX as the platform where they'd announce a price cut.

2nd and 3rd place predictions were X07 AFTER Halo 3's launch and early next year just before the post holiday slump.

I also originally predicted that they WOULD NOT cut it at E3...

I would imagine that they're not following Sony's lead because they don't want it to seem like they're following Sony's lead. This is actually pretty smart on their part because by not following it makes Sony look desperate (dropping all alone to boost sales while everyone else stays at their current price) while if they did follow it would make Sony look more like they were leading the market by controling when MS dropped.... Basically by not following Sony's drop they were saying "we don't NEED to drop our price because it's still selling just fine, and we're not afraid of your new price point either"

...Well played MS, well played....

This post has been edited by twistedsymphony: Jul 11 2007, 06:23 PM

[Acer1985]

that analyst guy from yesterday was 100% wrong. he needs to be fired. lol

[bucko]

that analyst guy from yesterday was 100% wrong. he needs to be fired. lol

Ya lol it just proves that these analyst guys are just speaking crap out of there ass and nothing to backup there claims accept the word analyst.

[47_M450N_47]

Cutting the price will definitely boost sales, I know a lot of people have been intimidated by that $400 price tag on the 360 (core is a waste of money). If it's lowered down to $350 that will be a much easier cost to justify.

[twistedsymphony]

Cutting the price will definitely boost sales, I know a lot of people have been intimidated by that $400 price tag on the 360 (core is a waste of money). If it's lowered down to $350 that will be a much easier cost to justify.

maybe not, it seems most consumers are trained to think the NEED the highest priced model no matter what is included...

the PS3's 60GB version wasn't worth the extra $100 to most gamers but hardly anyone bought the 20GB just because "if you're going to spend that much money you might as well get the 'good' one"

At this point I think most people look right by the premium and straight at the elite, it's a shame but that's why if the 360's price gets cut it needs to be more than $50.

when they do cut, it will be interesting to see if it's a flat rate cut across all models ($250, $350, $430) or if if it will be cut proportionally ($250, $330, $400)

if core gets cut by $50 then I would imagine the drop will proportionally scale to the higher priced models. I still strongly believe it will be a $100 price cut though. I think they want the core to beat out the Wii in price.

[47_M450N_47]

That is true, many people believe that the higher priced item is always the better one. If they reduced the price by $100 that would be awesome, I'd probably sell my premium on ebay for whatever I could get and get an Elite (mostly for the extra space, but IMO black > white).

It would definitely see what a $200 360 would do to the Wii in sales. That $50 saved might just convince some people to go 360 instead of Wii.

[someguy33]

I Really wanted a price drop, so I'm dissapointed by that. But I agree with what twistedsymphony said.

I wanted it cheaper cause I still need to by one. But really $50 isn't going to make or brake the deal, it's only $50.

[DRM_360]

I hope it's not too much longer for the drop, I was really looking forward to it. And i'd like to get one before the summer's over.

[Ninja Sniper X]

I completely agree with Twisted M$ played their game very very smart.

[xboxgamer999]

I agree, a 100 dollar price cut would diffinitely be more acceptable for all 3 models but, I don't see it happening any time soon, well maybe after halo3 is released or as soon as falcon is introduced into the masses this holiday hopefully by then MS has stop production of current 360 model Version 1.1. I still got a year left on the new warranty for the RROD and I would hate to have to get an other refurbished version 1.1 360, hopefully, MS will start circulating v1.2 for repairs, specially for those of us how have had the misfortune of our boxes dying out more than twice.

[dinzy]

maybe not, it seems most consumers are trained to think the NEED the highest priced model no matter what is included...

the PS3's 60GB version wasn't worth the extra $100 to most gamers but hardly anyone bought the 20GB just because "if you're going to spend that much money you might as well get the 'good' one"

At this point I think most people look right by the premium and straight at the elite, it's a shame but that's why if the 360's price gets cut it needs to be more than $50.

when they do cut, it will be interesting to see if it's a flat rate cut across all models ($250, $350, $430) or if if it will be cut proportionally ($250, $330, $400)

if core gets cut by $50 then I would imagine the drop will proportionally scale to the higher priced models. I still strongly believe it will be a $100 price cut though. I think they want the core to beat out the Wii in price.

You got it wrong. The 360s price will have no effect on Wii sales since they are still selling out, however if one cannot find a Wii...

[chane2k1]

ooh, i get my money early next month i hope they drop the price soon so i don't have to wait.

[twistedsymphony]

You got it wrong. The 360s price will have no effect on Wii sales since they are still selling out...

I never said that the 360 would effect Wii sales I said "I think they want the core to beat out the Wii in price." meaning "I think MS wants the core to be lower in price than the Wii".

if the 360 core drops to $200 and the Wii is $250 then they beat it out in price plain and simple. it doesn't allude to any increse or decrease in sales one way or another.

it's not rocket science, hell it's not even highschool level algebra.