Xbox 360 price drop is reaction to Blu-ray victory, says analyst

Monday, 10th March 2008 13:47 GMT By Patrick Garratt

The simExchange Jesse Divnich is convinced that the impended European Xbox 360 price cut is a specific reaction to the recent death of HD-DVD and emerging dominance of Blu-ray.

“I’ve always considered the console wars to be like a game of chess and Sony’s recent Blu-ray victory is equivalent to putting Microsoft in ‘check’,” he said. “This is why we are talking about an Xbox 360 price cut and not a PlayStation 3 price cut – Sony already made their move, it’s now Microsoft’s turn.”

He added: “Of course, in the short-term this will be a good strategy for Microsoft to position itself away from the PS3 as a cheaper next-generation console, while still being able to compete against the Wii. A price cut will also position Microsoft to take advantage of some of the upcoming releases such as Rainbow Six: Vegas 2 and Grand Theft Auto IV, both of which are multi-platform titles and definite hardware drivers.”

Amazon apparently confirmed a 360 drop in the UK this morning, before putting its prices back up just after midday. An announcement from Microsoft is expected imminently.



  1. Blerk

    Nah. The 360 was under-performing against the PS3 in most of Europe *before* the death of HD-DVD. I reckon this drop was pretty much always on the cards – don’t piss off the people who bought at Christmas too much, entice a bunch of new people in for Easter just in time for GTA4.

    #1 7 years ago
  2. patlike

    Yep, definitely. The whole thing’s pretty much predictable, I reckon. And you’re right: outside the US and Europe 360 really is an under-performer.

    #2 7 years ago
  3. Syrok

    I think that sould be outside the US and the UK. ;)

    #3 7 years ago
  4. patlike

    That’s what I meant :)

    #4 7 years ago
  5. jinxy89

    I can’t see the PS3 dropping in price again until after summer 2008, for a little under £300 you get a lot of hardware – Bluray for example. Can only see a reduction in response to any further price reductions of the Xbox 360…

    I found this site that updates you with the latest prices online from a load of retailers and made my search for the cheapest PS3 a hell of a lot easier!

    #5 7 years ago

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