Microsoft cutting Xbox 360 prices

From the Associated Press

Microsoft Corp. is cutting the prices of its Xbox 360 game console beginning Friday, with the cheapest version selling for $200, less expensive than the Nintendo Wii, which retails for $250.

The Xbox 360 Arcade version had been selling for $280. Microsoft, which slashed the prices of the console in Japan on Monday, said the 60-gigabyte version of the console would now sell for $300, down from $350, and the high-end Elite 360 would go for $400, down from $450.

“History shows that more than 75% of all console sales happen after the price falls below the $200 mark,” Microsoft said Wednesday.