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No immediate price drop for the 360
22 May 2006 07:18 | Rob Rymond | Systems | Xbox 360
Xbox360News.com | Link to this article

Microsoft has revealed there are no immediate plans to drop the price of the Xbox 360 despite suggestions with the PS3 launch taking place in November, that Microsoft would hit back and drop the price of the console.



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1 -
xeon121 05.22.2006 07:43
why should ms drop the price when its already about $150 bucks cheaper than they only other "next gen consol" obviously the rev will be cheaper than both the ps3 and 360 but nintedo themselfs said they are not touting their consol as next gen therfore are not adding expensive turkey add on features such as blu ray and hd dvd,the point is ms has no reason to drop price untill at least late next year when halo 3 is realesed a drop and price coinciding with the realese of ms flagship game = $$$$$.

2 -
Unregistered - Ludwig 05.22.2006 08:02
I never actualy see any of the 3 say "we'll do a price drop" .. that would be stupid considering people would stop buying the console to wait the pricedrop ... I understand that microsoft now is playing "safe" and having profits and all .. but if needed she will drop the price as much as 150USD (not in once) to get a edge ... without becoming un-profitable to softhouses.

3 - the 360 is price just right
Unregistered - master chief 05.22.2006 08:31
i don't whant them to lower the 360 but i would like to get like a saving certificate when i will buy the hd dvd for the 360. if the price will be 200.00 will be nice to save even more. i mean i all ready spent 400.00 for my 360 plus i all ready own about 10 360 games and over 350 regular xbox games. plus the more people have hddvd players the better chance the hddvd format will win over the blueray.

4 - WELL IM ACTUALLY WAITING FOR THE COOLER CHIPED ONE
Unregistered - JO 05.22.2006 08:33
hers hoping they make it obvious to which one it is or i may never buy one

5 - Xbox360 is great value as it is!
Unregistered - bernie g 05.22.2006 09:05
I don't think Microsoft need a price drop at the moment, with Sony's offering at a ridiculous price (and they're still losing a dangerous amount of money per console) and the 360's great line-up, it'll do just fine.
Remember at the end of the day it's still a business, all consoles are sold at a loss, and the longer the loss is kept to a minimum, the better it is for the games industry as a whole.


6 -
Unregistered - wii 05.22.2006 09:16
i think they should drop the price cuz, the xbox360 isn't selling well and i have no money left for the cooler

7 - #4
assjacket 05.22.2006 09:25
They aren't going to advertise when they put the newer chips in the machine. What do you want a sticker on the side of the box saying "now using new 65nm process, cooler and more efficient than the original!". It will never happen. You'll just have to wait until the stock in stores has the newer chip and get one. I think around March or April of 2007. Have fun waiting.

8 -
silent ninja 05.22.2006 09:29
thats sad i was waiting for ms to drop the price. oh well a guise i'll have to buy it.but ms better have games to suport it not just ports and good quality games

9 - no really.
Unregistered - Daewoodrow 05.22.2006 10:09
number 6- The xbox 360 is selling very well.

Obviously Microsoft wont announce plans to reduce the price, especially not half a year on from launch. You'll anger the early adopters, generating bad publicity. And as someone already said, people will just say "fine, i'll wait for it to drop in price before I buy". They WILL drop the price, but they will wait till around next year, and they will not announce it until they are about to do it.


10 -
Unregistered - StL. 05.22.2006 10:45
Of course MS is not going to ANNOUCE a future price cut. That is akin to saying "don't buy our stuff yet, it will be cheaper later on". Sony gave MS a huge gift by pricing the PS3 at $500/$600 range. That gives MS at least an extra 6-8 months of full price sales before they even need to conmsider a price cut.

IMO:
Price drop number 1 - Core = $250, Premium = $350 sometime around March 2007 when Sony finally is able to begin delivering real, functional PS3's to the market. About this same time Halo3 will launch and there will be a bundle offered - Premium Pack + Halo3 = $400. The fact is that even though Sony is promising a November 2006 release, there will not be anywhere near enough consoles (if any for that matter) to make a serious impact in 2006. Late-Spring and early-Summer 2007 (about this time next year) Sony and Microsoft will finally be going toe-to-toe in this generation of hardware. By then, MS will have their 10M installed base and will be fighting Sony will the biggest gun in the arsenal - Halo3. Should certainly be interesting...

Pricce Drop number 2 - Core = $199; Premium = $299 Holidays 2008

Final Proce Drop - Core no longer offered, Premium = $199 Holidays 2010.

The days of seeing consoles drop all the way to the $99 price point before production ends are over. Sony is going to have an even more difficult time cutting the prices on PS3. Starting from the $600 range is insane. This would mean that it is highly unlikely you will ever see a PS3 hit a price point widely accepted as "mainstream" - ie. $200. Sony will sell a ton of machines, but they are sick in the ehad if they believe they will sell another 100M at that pricing. 25-30M units worldwide is going to be a ceilign for a >$500 game consoles no matter what it does. MS will likely sell a pretty equivalent number of 360's because of this fact - there is somethign about the $500 mark that resonnates will a lot of middle-American families. Goign beyond that price point for an entertainment product, especially one that is still seen as highly specialized like a game machine, is highly unlikely....


11 - why?
Unregistered - Malachi22 05.22.2006 11:34
Why should they drop the price?, the POS3 is now not going to pose any kind of threat.

12 -
Unregistered - Daewoodrow 05.22.2006 12:06
They are going to drop the price because in any electronic production the parts become cheaper. This would typically mean more profit for the company[A], but due to the capitalist nature of our countries, the competitors (company [B]) will also find their parts getting cheaper, and will reduce their retail price to compete with company [A]. Company[A] loses sales, So Company [A] also reduce retail cost to compete with [B].

In other words, if they don't reduce the cost then Sony will, so then the PS3 will later be priced similarly to the 360, taking away 360 sales later on. In order to main an image of the better valued product they will both drop prices within as soon a margin as their competitors as possible, i.e more or less at the same time.

The companies don't like it, but they have no choice.


13 - XBOX360 rules
Unregistered - Devon WIlliams 05.22.2006 12:12


Stupid Microsoft, I hope that Microsoft can change their minds and I don't believe that news. I can' buy a XBOX360 unless price drop.


14 - XBOX360
Unregistered - Devon Williams 05.22.2006 12:20

I still don't like Microsoft's business about stupid launched worldwide sku 2 between Preumin and Core pack. I wish that Core pack is gone and Preumin pack is $229 with harddrive. I not buy a cheap XBOX360 core. I am accepting that but Microsoft's business are suck period.


15 - isn't PS3 doing the same thing
Unregistered - WTF 05.22.2006 12:35
The PS3 is having 2 sku's and launching worldwide as well so then you also hate Sony's business practices then only one company left for you then and that's the Nintendo Wii.

16 - #14 your just 2 poor pal!!
Unregistered - famo 05.22.2006 12:50
#14 if you can't afford to buy a premium you don't even have a HD tv.. You milds well buy a original xbox. #14 I would buy a Wii then you don't have to worry about $!!! Also 60$ is the cost of each game it sounds like your too poor to buy a game!! Get a part time job or something then you might be able to afford a 360!!

17 - Prediction
Unregistered - TMoney 05.22.2006 12:52
Predictions (some long-term and some short-term):
1. 2007 will be a record setting year for HD TV's purchases in the U.S.
2. MS will NOT drop the price of the 360 this year or in 2007.
3. The Sony pricing/tech strategy (along with increasing Xbox Live popularity and interconnectivity between PC and console) will be instrumental in Microsoft taking away 10%-15% of the U.S. marketshare from the PS2/PS3 by 2008.
4. MS will NOT overtake Sony in U.S. marketshare throughout the duration of the 360 console lifespan.
5. Nintendo will discontinue it's own console developement and partner with Microsoft for the followup to the 360.
6. The HD-DVD format will ultimately win over Blue Ray.
7. Sony will be severely damaged after the prolonged conflict with MS in the console wars AND the losing battle in the DVD format wars. (This could be the one-two punch that would spell a major shakeup at Sony in 2008).


18 -
Unregistered - StL. 05.22.2006 13:35
I agree that Blu-Ray is going to ultimately fail.

Why?

Simple really. PORN.

The pornography industry is THE driving force reason behind the adoption of VHS (inferior tape product, cheaper to mass market) over Betamax (superior tape [product, harder to mass market).

It has happened time and time again in business where a supposedly "superior" technology has been beaten in main-stream adoption due to price sensitivity. HD-DVD is cheaper to make. HD-DVD will spawn far more early porn titles due to this pricing - the porn industry is build on fast turn around and cheap production costs to maximize profits, tink they are gonna choose a more expensive format ever?

The list of "superior but more expensive" options in the graveyard of mass-market business is extensive (and funny enough, there are a lot of propiretary Sony offerings in the ehap...lol)

Betamax lost to VHS.
SACD (and DVD-A for that matter) lost to mp3's.
Memory Stick lost to SD cards.
PSP lost to DS.
XB-Black lost to PS2.

And last but not least, BD will lose to HD-DVD unless they can find a way to get the Porn industry to not mind losing profits to use their more expensive format....Quod Erat Demonstrandum.


19 - About Sales
Unregistered - Vincent 05.22.2006 13:40
I was actually impressed. Did you guys know that a few industry insiders were expecting the 360 to only have 2-3 millions units in homes before the PS3 Holiday 06 launch , not the Spring launch. I believe I read that two months ago in Game Informer and EGM. I believe it is estimated that the 360 will have around 8-10 million units in homes after the holiday shopping season or is it before? That is really impressive and that is alot of Sony fans jumping ship in those numbers it has to be. Later

20 - T MONEY
Unregistered - PrO LOgIC 2 05.22.2006 13:40
You read my mind

21 - One more point...
Unregistered - TMoney 05.22.2006 17:57
For years, I have read from analysts and gaming editors/writers the same mantra: "You can't win the console war without conquering the Japanese market".

Here's my take.
The above may have been true prior to MS's entry into the console market. However, in the few years since MS entered the gaming arena, the entire landscape has changed. The same rules no longer apply. Despite MS's failure in cracking the Japanese console market with the Xbox and the 360, MS is not doomed to failure. Far from it. The lack of immediate success in the Japanese market will not determine the ultimate winner. Why? "Convergence of Technologies".

Consoles are no longer..."just about the games" (despite Nintendo's insistence that it is). The future of "gaming" consoles will be about the entire home entertainment experience...from gaming to movies to music to the total online experience (which may eventually include information gathering). MS is poised to offer all that with their domination of the worldwide PC market through a "little" operating system. Think about it. Which company has a greater unified penetration in the worldwide market? MS's operating system is in over 80% of all computers in the world (and yes...in Japan too).

Just some food for thought.


22 - Smart Move
Unregistered - Jon Jon 05.22.2006 18:51
Look.... Microsoft wants people to buy consoles NOW. Even hinting at a console price drop would deter gamers from buying a 360 until LATER. This is a smart move, by announcing there will not be a price drop... people have no reason to wait to buy one.

So this announcement is just a smart move on MS's part. Do not be surprised if there really is a console price drop come Novemeber.

Look, MS needs to stay on the OFFENSIVE. They cannot afford to be too c0cky, Sony may look like they are in trouble but that can change in any momment. Although MS is ahead by miles, Microsoft will not underestimate sony... expect a significant drop in the 360 price come Novemeber.


Oh and to the guy that said Nintendo would pair with microsoft... we can only dream! The console would be amazing... best of hard core and casual games... the perfect system.



23 - what a piece of crap
Shadow Flare 05.22.2006 21:21
maybe i should paint my old xbox white and sell it for 300 bucks. It basically does the same thing anyway. You guys think ur 360 is such good value for money. what new gaming experiences have u enjoyed? U lot gotta buy a stinkin hd-dvd add on anyway. pos. Blu-ray is gonna be so good when it comes to gaming.

Sony = providing the best gaming experience

Microsoft = Try to make money any way they can. They stink


24 -
Unregistered - MMM hmmmm 05.22.2006 21:37
23...umm in case you didnt know its always business never personal and i love my xbox 360. If you arent satisfied with ms simply dont buy the system.

25 - Xbox Live
Unregistered - Josh 05.22.2006 22:24
That's exactly what I am experiencing that no other console offers. Xbox Live is an incredible service offered by Microsoft, and IMO is the second biggest innovation of this next generation, with the first being the Wii-mote.

26 - xbox 360 fanatic
Unregistered - xbox 360 fanatic 05.23.2006 04:44
Man listen, xbox 360, precision wireless controller with vibration, hidef games, custom soundtrack for everygame, xbox live....equals unmatched entertainment. And if you think sony is remotely close your dead wrong. MS provides more than just better graphics, its total more fuller experience. What are you exactly expecting from sony? Yeah okay blu ray big deal woooooo i can play a different type of dvd..i dont watch movies on my consoles however if i did i'd be happy with the progressive scan dvd player on my 360. Do you know how regular dvd's, a progressive scan dvd player on hi def tv looks...its gorgeous. And as far as blu ray for games i mean who know's what the pros and cons really are, you never heard of blu ray until sony started to brag about it. Personally if you got a 360 got it home put in on a hidef tv and just played the games you'll be surprised at how fun it is and the graphics are gorgeous, and thats only the ports, and no usage of the cores or threads and all that. So when ms starts pumping out the games with the next gen titles you'll see that the 360 is really just a wonderful thing and on another level. Sony will provide graphics maybe comparable to the 360's but that's it. MS is the real deal...open up your mind.

27 - No23
Unregistered - maz 05.23.2006 08:48
MS don’t need to reduce cost. The Cell processor has about 20 gflop more power that the Xenon. And this test was done on the 9-core version.

Don’t believe the hype about the Cell. Its good but over hyped.

Any one who questions my view on the Cell, then you can find this info on the net at a lot of hardware sites.

The 360 will hold its own no problem.


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