$400 for the complete version of the gaming console

Aug 18, 2005 08:15 GMT  ·  By

Microsoft has decided to deliver another blow, and has announced the price for Xbox 360, whose launching date is still shrouded in mystery.

The company's decision of offering two versions of its console points out that Microsoft is still afraid of Play Station 2's influence among users. And in order to reach the price of $299, which is much closer to PS2, it has removed the HDD and the wireless controller.

Since it is rumored that PS2's price will decrease $100 around the holiday season, even the price of $299 is regarded as too high.

Microsoft also offers a more complete version of Xbox 360, priced at $400, which comes close to the price of $500 rumored for Play Station 3.

Microsoft's intention of making significant profits by selling accessories is another reason for launching the $299 version. Practically, those who will go for this version, will have to invest another $300 in order to have access to all the features offered by Xbox 360.

Although Microsoft keeps stressing that it has launched the console ahead of the competition, the price could be a disadvantage. Play Station 3 is already superior from technological point of view to Microsoft's console and if Sony accepts the idea of losing some money in order to sell more units and it also provides more features for its console, Xbox 360 might be in a tight spot.

The users will surely compare the two consoles, and if Play Station 3 succeeds to provide more accessories, even if its price will be $100 higher, it's likely that Sony's console will outsell Xbox 360.

On the other hand, games will also play an important role. It seems that the titles for Xbox 360 will be priced at around $50, which is a lot of money, even for a highly-acclaimed game.

With cheaper games and more accessories, Play Station 3 might turn things around, provided that Microsoft doesn't decide to "slaughter" the prices on Xbox 360 when Sony's console is launched.