Xbox360 price-drop - Microsoft Australia Goes For The Jugular

OXCGN writes:

"As the battle for the gamers hard earned cash rages between the industry giants, it seems that Microsoft has gone for the jugular, hoping to secure a decisive victory in hardware sales across the holiday season. It's just done superb sales with Gears Of War 2 across Australia, now this.

According to a solid retail source, Microsoft are gearing up to announce a massive price drop across all Xbox360 SKU's here in Australia, this reduction will come into effect tomorrow - 11th November 2008."

*Full Pricing details after the Jump*

[gaminoz]

Oh no! I just sold my Halo 360 and got a 120gig HDD and Arcade console! 1 week too early! Figures.

[Acj2323]

Another price drop! well at least this time round they are making me (a xbox 360 owner) want to buy one of these,lol the users of a 2nd xbox, endless...

[Immortal Kaim]

It is actually tempting to sell my old 20gb pro for the 60gb model (HDMI would be great).

According to these prices Its a pretty significant price-drop. Cant believe the Wii is still that expensive....

[Acj2323]

its how M$ stay in the lead in this race, they are good prices and very tempting to go out and buy a 60-120 gig one especially with NXE allowing us to dump games on to our HDD

[gaminoz]

I can't believe the Wii still sells at that price. Mine is a dust gatherer except when non-gamers come over and try it or my wife and kids feel like booting it up.

[XboxOZ360]

WHooppee . . .Just when I can NOT afford a new console Elite please, they drop the price and I still can't afford one - bugger. But it sure as hell will soften many "fence sitters" into popping off their perch and giving the 360 a try, especially with all the great games coming out right now.

They'd be made not to. Makes it about the best buy around. And with the 360 outselling the PS3 in Japan of all places a week ago, this could help bolster locals into buying seeing it improving in such a tight region as Japan.

[Acj2323]

M$ is seeing a lot of non gamers shifting to their consoles, iv seen a massive increase just at school where you used to be called a nerd for playing the 360 but now its as normal as most gaming consoles go, a good step for M$

[Firstkn1ghT]

The beauty of these price cuts is that Microsoft is at least breaking even on every console sold. Unlike Sony that is losing a bundle on the ps3.

[Fishy Fingers]

Got a link for that?

Oh and the beauty of a price cut is WE pay less, not cooperations make more.

[Mr_Bun]

What is in those machines that M$ can afford to keep dropping the price?

@FirstKnight
M$ was losing on everyone of it's consoles before any price drop...what makes you think they are breaking even now?

[XboxOZ360]

We "can't supply the link as the "source" could lose their job, and no matter WHAT anyone says, we will NOT break an agreement with a source, no matter if it makes us seem like liars etc. which we are not.

All I can say is this person KNOWS the insides of the stores and is a major insider within the retailer, and has NEVER given a bum-steer in the past. Hence not wanting to disclose his name or source . . I trust you understand that much. Beside, within 12 hours, you'll have verification one way or the other eh.

I'd rather hang onto "my word" rather than drop a url in the net just to please some ppl who don't really care one way or the other (no offense meant mate). Sorry.

[slayer8]

MS are still making money on each and every console even with the price cuts. Good move by Ms, might buy another one.....

[XboxOZ360]

Unless you have verification to say otherwise, I'd have to disagree with you there. MS have been breaking even on "production" for some time, retail is anothe rmatter. The two are separate entities. Do some googling and you'll find your answer soon enough.

The reason MS are able to reduce the price is that like all companies, yhe begin the scaling down process as soon as the first sets roll off the production line.

2 months before its release, the design team was split in half, one half went with J Allard and worked on the ill faited Zune, which they still think they can resurrect - which they can't. and the other half went straight int design work on the x720 and minmizing the current production factors.

They have a new motherboard going in right about now called the Jasper followed by Opus, which will then be followed by the last one in the series which will actually go into the next xbox, the x720. Its name is the Valhalla . . again, use google. It is a Unified CPU/GPU and significantly smaller nano sized.

Thank Mt Bun, I didn't want to say what our source was, so I'm glad you found verifying support as well, cheers for that, I'll add it to the site. Oh, I see, the price . . costing factor . . but thanks anyhow, most appreciated. Popped a link and a thanks you up on the site and in the article cheers.

[Mr_Bun]

I found a link...you were right.

http://www.techspot.com/new...

[Why o why]

chose integrity vs points in a pissin contest = bubbles for YOU. (hate snitches) .

Mr bun, 'top man' for looking finding and showing even though the results disagreed with what you first thought. bubbles also

[Captain Tuttle]

That article is from 2006 btw.

[Mr_Bun]

Yeah, I was looking for a link that showed where M$ stood early on...I had no idea they were making a profit that early.

[hfaze]

What, didn't Microsoft see the sales they were expecting after the first price drop? Are they desperate to "win" this Christmas season, or are the stockholders giving them an ultimatum? Who knows...

I'm just glad I sold my 360 when I did... I already took one hell of a loss on it, it would SUCK to take even more of a loss after the price cut.

Although it's good for gamers that the entry price for this generation just came down again, and you don't have to settle for the Wii... :-)

[karlostomy]

Australia didn't have the pricecut that Europe and the USA had.

Stop spinning fud.

[XboxOZ360]

Well axtually, Australia DI have a price cut just a few months ago mate, and Official one at that . . a drop of around $AUD30 - $50 on variouis models. SO yes, that IS two price drops in just as many months.

The current economic crisis does have a bearing on sales, and if the prices are ABOVE what ppl are prepared to pay, then sales do NOT happen - period.

Think outside the box for a change. The world is loosing $$ as we speak, they do turn to gaming in such times, and what better wayto capatalise on this than t=o drop prices while you can, rather than being forced to. And then allowing the public to make a financial choice on what they CAN spend their money on for some personal game time at home while the rest of the world burns.

It makes perfect business sense to drop prices now, especially in Australia with such a weak $ as it is right now. Several weeks ago our dollar was 0.98 for every $US1 . .it's now 0.66 for every $US1 . .see the point . .

[Why o why]

lol

you sure know your stuff to do with Australia

[karlostomy]

No matter, if I am wrong I stand corrected.

see that? I admit when i am wrong.
Let's see if others do the same.

Care to throw me some links, xboxoz, that verify when exactly the 360 had the first series of price cuts (without sku changes) and how much exactly was cut?

[Gam71]

This puts them in line with UK prices.

[Joejoefhosho]

/

[XboxOZ360]

Get a grip and understand economic and production cycles mate, you might learn something if you came out of your Sony Cave. At least there ARE some sensible Sony fans in here, they visit our site and actually comment sensible things, unlike some.

SOny can never break even with the PS3, Ken K saw to that when he blew their budget right out of the water and clear across the Pacific Ocean.

Great console, excellent games, stupid management and one that doesn't listen to westerners (they did NOT listen to Phil Harrison, if they had of when he said something years ago, they wouldn't be in this mess they are now. Their pigheadedness has held them back. Now they are in a bind.

They have a great machine,it can not be brought down in price without significant cuts to the actual hardware and thus performance. which they won't and shouldn't do. Their own CEO said that they will not make ANY money on the PS3 in its lifetime - period. Do a google and you'll find his comment.

They disregarded PH's comments about using a Live subscription and making games for online users with all games. Japan said it will NEVER CATCH ON . . . hello . . . He also told them to do many other things, and they didn't, which is why they lost one of the best guys in gaming . through ignorance and blind belief in that they knew what westerners wanted, and that JAPAN rules the roost in gaming and that NO real Japanese developer would slip[ over to MS. How wrong they have been.

PH said it would happen if they didn't watch out, again, they didn't believe him, lo0ok what has happened with Square Enix, Capcom etc etc etc.

SO stop being blind sony dorids and actually do some 'reading' - its a new invention where you use those things in your skull called eyes, and then you work out what the words say and understand them . . hmmm . . on second thoughts, scratch that idea. (jk and sarc btw)

[MRMagoo123]

Think about what your saying for a minute i know you think you sound smart but clearly your not if the ps3 is in sucha bind why oh why are they outselling the 360 all the time keeping in mind the 360 is cheaper than anything else maybe try taking of those glasses ms gave you and youll see not eveyone is stupid enough to want a peice of crap console that dies when you switch it on and even if it does work is a blatant rip off in the long run.Its dumb ppl like you that make me not want an xbox who wants to go on live if there are idiots like you to talk to and all the other 12 year old girls that got there console for xmas.The only reason ms are haning on right now is because they have money to throw at ppl thats it cos its definately not the games that are selling the console.One game is all its got and if its online play is crap

[Xbox Street Gang]

Wow. The effect these price cuts are having seems to be minimal, at most. I can't wait to see what numbers the PS3 does when Sony lowers its price. I mean, a $500.00 PS3 was selling out everywhere in June.

Anyways, back to Kameo: Elements of Power...

[XboxOZ360]

Sony can't lower it's prices any further they have said so, and they simply can not do it any time soon. Do a google on their inability to drop pricing. And yes, back to the Map Editor in Far Cry 2 . . .

[yoghurt]

good to have a price drop, but its hardly a massive price drop as its made to sound

[Immortal Kaim]

Are you serious, It's a pretty big price drop. Let me guess, if the PS3 had a $100 price cut it would be MASSIVE.....

[ultimolu]

Kudos if it works for them.

[Acj2323]

it should most defiantly work, iv discussed these prices drops with some friends and now they seem pretty keen on getting one for Christmas, good on you M$.

[kenjix]

I don't care how you try to spin it, the 360 just isn't a value if you pay more than $200 for it. It just can't justify being the same price as the Wii or the PS3, it has to be cheaper, no pun intended. Microsoft obviously sees this although 360 fans are trying to look around this issue. I would pay $249 for a Wii and $500 for a PS3, but once the 360 is $149.99 I'll consider it, but I'll probably get another PSP instead.

[Guitarded]

If you are not a fanboy, you can see the value in a 360.

[gaminoz]

@ Guitarded

Yup you are right. Anyone who says this isn't good value is a fanboy, pure and simple. Bubbles for you.

[XboxOZ360]

Agreed 110$+% mate. Anyone that says they are NOT a fanboi and makes such comments is in fact a HUGE fanboi - period.

All the consoles are worth it if you check out what is in them when compared to modern day technology. The idea with any tech is to bring it out, then begin reducing production costs so you can reduce the RRP.

That does NOT reduce the value of the product.

It's like saying one Ferrari is better than another model, simply because it minimmised on the earlier models parts and streamlined its production line and internal products.

Stop being so one eyed and you'd see that.

God, The PS3 is doing that right now, does that make it less of a PS3 because of it, no. It's still a great machine, but all the streamlining in the world this generation will not drop its production costs below a level to allow them to "make money - or break even" on it . .Do a google and you'll find that coming straight from Sony, not 360 fans.

[Acj2323]

this is what i dont get about you ps3 fan boys, the xbox 360 brings the same features as the over priced hunk of plastic know as the ps3, but rember it brings optional ad-ons that make it alot better, but as an option to not weight down the price, alot better online system compared to PS3 one.

PS3 fanboy or not everyone that i know of who has bought a ps3 or an xbox say the facilities and the range of stuff you can do beats the ps3 hands down.

and being such a great deal you WILL see people come across for PS3 and the WII.

[kewlkat007]

You think they like to give out freebies..

[gaminoz]

So how will the PS3 go now, do you guys think? It is WAY more expensive now even with Little Big Planet included. I only use mine for Blu Ray and BIG exclusives, as well as streaming stuff to watch.

If I could only get one, it wouldn't be the PS3 now based on price and total games alone. I hope Sony cut their price soon...competition is necessary to push each other to greater heights.

[Acj2323]

I think people will finely start to see how the ps3 is not better and how the xbox can do everything the same, but at a much lower cost, with the added features of the NXE update and xbox live its a sure win.

[MRMagoo123]

Why would anyone see the xbox is better than the ps3 when it clearly isnt idiot plus the ps3 can do things the xbox cant one thing comes to mind play LBP you cant do that on the 360.Also on topic i have been to all my local console selling shops including EB games myers and game traders and none of them have dropped the prices of the consoles.I asked the sales clerk at EB and he said they didnt hear of any plans to do so and said there wouldnt be a point to it anyway considering noone wants to buy a 360 in australia only retarded ones would take one for free.

[XboxOZ360]

Just to confirm and squash any doubting thomas's, it's OFFICIAL:

SYDNEY 11 November 2008 – Microsoft today has lowered the price of the Xbox 360™ video game and entertainment system in Australia to a starting price of AU$299.00 RRP* - less than half the RRP price1 of the next cheapest hi-definition console in the country.

With Christmas just around the corner, all Xbox consoles will come with complimentary games for a limited time at participating retailers.

[gaminoz]

They are aiming to get more casuals for sure: even my nieces might be interested at that price with singing 'games' like Lips (shudder....).

[Immortal Kaim]

True, plus they are reaching a huge casual audience with LIPS association with Australian Idol. They are doing some kind of promotion, which will certainly peak the interest of the tweens who revel in that kind of stuff.

[XboxOZ360]

It's nice to have the news before the news breaks - for a change, so props to the writer for getting it up as quickly as he did . . . If ANYONE knows of "real News" and wants to write an item on it, then get in contact with OXCGN. We do the occasional Guest Contributor and you get your item up on the net and seen and "appreciated" by more than just those here at N4G