Microsoft Xbox 360 Elite Price to Drop $100 in the US

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Microsoft will lop US$100 off its highest-priced Xbox 360 game console on Friday, just weeks after a similar move by Sony as the war for game console market share produces better deals for consumers.

The Microsoft Xbox 360 Elite console will be reduced to $299.99 in the U.S., the company said. Microsoft will also lower the price of the Xbox 360 Pro console to $249.99, a $50 reduction, while the Xbox 360 Arcade will remain $199.99.

The price reductions are meant to make Xbox 360 consoles more attractive ahead of the holiday season, Microsoft said.

Earlier this month, Sony lopped $100 off the price of its premium PlayStation 3 game console to $299.99. That machine boasts a Blu-ray Disc player in addition to gaming functions. Sony has sought to make the device a product for anyone's living room, not just people who enjoy games.

The main difference between the three Xbox 360 models is storage capacity. The Xbox 360 Arcade has only 256MB of storage, while the Xbox 360 Pro boasts 60GB of storage and the Xbox 360 Elite carries 120GB of storage. The PlayStation 3 comes in 80GB and 120GB configurations.

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