hmm i dont think it will do much. The ps3 already cost much more, and yet in my country it ousells both the wii and 360 by alot.

Profit is one thing, allowing two other consoles (one which is in direct competition) to overtake you in less time than your console has been on the market is another.  MS had no choice here, demand for the 360 vs PS3 and Wii in Others was too low and really price is the only lever they could turn too.  The 360 already has good games, online, etc. so if they we'ren't enough to make it sell better then price is the obvious tool to try and give pause to purchasers who are obviously passing over the console right now for the other two.

I agree with you, it wasn't normal that the first price cut happened seven months ago. MS should, and probably would have cut the price much sooner if it wasn't for the RRoD issues. I think they delayed the first price cut to make up some of the lost profits.

desperation move

How am I a fanboy? I simply asked a question. Sheesh.

Can't even ask freaking questions anymore I see...

The real irony is that the PS3 launched at a higher price point and therefore have a higher amount of money that the console was dropped, but compared to the launch price lf the system it's fine.

Also, no one is saying what effects they think that it will have.

I think its just technology / manufacturing costs lowering / currency exchange rates (dollar devaluing) which gives MS leeway to be more competitive in pricing to catch even more holiday sales and hopefully see increased levels of sales in 2009 like the PS3 got from their last huge price cut at the end of last year.

Of course it is a desperate move.
but it is working for McCain, so it might work out very well for Xbox360.

Microsoft is serious about coming in 2nd and maybe catch up to Wii just a little.

blazinhead89 said: 360 being cheaper than PSP is evidence of a more Desperate Move?

Interesting!

Although my PSP & games were technically free 

In regards to the topic, I think it's a last ditch bid to win the European market, especially with the run up to Christmas coming! And we won't truly see what effect this price cut has had until the Christmas is over

Quoted again for total thread ownage.  And yet they still keep ignoring it lol.  Hrmm.. would you call it desperation when you point out MS's pricecuts but ignore Sony's?  I think so.