Could there be another 360 price cut coming?
This definitely goes in the category of speculation... But today at lunch I was talking pricing strategy with Dennis Durkin, the the CFO of MIcrosoft's videogame business, and asked him why the company decided now wasn't a good time to cut the console's price (instead it just increased the storage available for $350).
His response: "Price cuts in the summer are not generally impactful."
So it's not a matter of Microsoft thinking $350 is the right price for console all year? It's just a matter of what the right price is for the summer? The logical conclusion, of course, is that a price cut is quite possible this fall. Certainly, if Microsoft is planning to cut the price of the Xbox 360, Durkin was stating that's when they would do it.
So, for those of us surprised that Microsoft didn't make a bold change in the price of the 360 -- maybe we should reserve judgment. More could be coming soon.
Chris Morris reports on the business and culture of video games and offers analysis of recent events and industry trends.
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