Microsoft PR rep: No 360 price drop this fall

Redmond-based internal publicist John Porcano uses his blog to report that the software giant will not reduce the price of its next-gen console in late 2006.

Until May, conventional wisdom was that, when the holidays rolled around, Microsoft would drop the price of the Xbox 360. The reason? Prevailing opinion reasoned that, since Sony would price the PlayStation 3 near the 360's $299/$399 dual-price SKUs, Microsoft would in turn undermine the console's launch by undercutting its rival--that, and release Halo 3.

However, just like the holiday release of the final chapter in the Master Chief's Covenant-blasting adventures, a budget-priced PS3 is now only the stuff of nerd dreams. Likewise, a late 2006 360 price drop will not come to pass, according to a post on Gamerscoreblog.com by John Porcaro, a Microsoft PR manager.

"As you're all aware, there have been rumors of a price drop for the Xbox 360 coming along later this year," wrote Porcaro. "The official word from folks in the know is that there are currently no plans for a price drop this fall." (Emphasis in the original.)

The rest of Porcaro's blog post goes on to talk about how the cost of a $299 baseline Xbox 360 is a small price to pay to enter the next-generation of gaming, given the fact Xbox Live Silver is free and the console also plays DVDs and MP3s. Oddly, though, Porcaro's superiors in the Redmond, Washington, headquarters had not returned requests for confirmation of the price drop as of press time.

452 Comments

  • Ludo299

    Posted Dec 20, 2006 6:07 am PT

    If either the xbox 360 was at a lower price or with the same price BUT with a game, I mean, this would end the quarrel between xbox 360 and PS3 . For a lot of people, the decision would become almost obvious, at least for me

  • REGG1234567890

    Posted Nov 27, 2006 5:29 pm PT

    Is this even llegal like meaning is this being said by real xbox 360 makers or is this just a thought

  • kairouz_j

    Posted Aug 6, 2006 12:11 am PT

    why would they drop prices? they're just going to give u more for ur money, like a bundle pak. think about it. xbox 360 with 2 games 2 remotes and xbox live for $600(AUS, im in australia after all!) against ps3 console (1100 AUS)
    geez might have to call george bush to answer this one for me, it requires immense brainstorming, considering invading microsoft.

  • masiisam

    Posted Jul 17, 2006 3:14 pm PT

    What do you expect them to say? It would cause a lull in sales untill the price drop. If the price drops. Nobody is going to know about it...my guess is a week before the PS3 hits...

  • sensaike

    Posted Jul 7, 2006 3:33 pm PT

    what u people dont realise is that microsoft is not cutting the price cus it thinks that it can get the same sales it would normally get if they cut the price. so whats the point?. or so they think.

    the ps3 has had a bad beat so far. cmon lets faces it. is not doing so well in peoples eyes at the moment with the $600 tag besides it! sure it has the: power , it has the games,( face it it does), crontrollers, online etc... but whats the point if nobody gives it a chance?

    the ps3 may not get the most sales this holiday season, with all the trash talk people have made about it. truth gamers and real fan wont change their mind from getting it cuz of what other people say. but alot will. thats just bussiness! but one thing ill say, if the ps3 comes and beats the 360 in sales this holidays. It is the best! period. face it. if it happens...

    coming from behind and winning is not an easy thing to do epecially in the ur opponents field (north america). for the ps3 to win it has to deliver period. no other option. either it does or it doesnt. if it doesnt it loses and if it does it has a shot!.

  • gskehans97

    Posted Jul 5, 2006 2:28 pm PT

    WOW...u think it would after 6 months or so,don't matter anyways i have my 360 now!

  • Zero254

    Posted Jul 5, 2006 11:30 am PT

    I'm gonna buy all three of them and laugh at this board's fanboys slam on each other.

  • The_Great_Gabbo

    Posted Jul 3, 2006 9:23 pm PT

    No price drop..... ok.

    I own a 360, and I think that last year up until the holidays, $400 is a decent price.

    HOWEVER.......

    The $600 PS3 will be a better value than the $400 360 this Christmas. (As much as I hate to say it.) Surely Microsoft sees this. So MS will add onto the current 360 premium pack.

    They could keep the 360 $400, but add a larger HDD, a game, free Xbox Live Gold... or what if MS added HD-DVD support to their $400 system?

    HD-DVD $400 360 would make Sony's system look like a rip-off.

  • swirskytheman

    Posted Jul 3, 2006 5:52 pm PT

    booooooooooooooooooo 360; PS3 is for me

  • swirskytheman

    Posted Jul 3, 2006 5:52 pm PT

    boooooooooooooooooooooooooooo 360; PS3 is for me

  • ckorneluk

    Posted Jul 3, 2006 3:47 pm PT

    Don't do a Price Drop but av it come with a game or two.....

  • shion_jr_kosmos

    Posted Jul 3, 2006 2:58 pm PT

    Screw both of them. Nintendo PWNS!!!! just get a wii, at least u can download a few of ur favorite games from 20 years ago. plus Wii is cheaper. Anyways, there's only like one game i would get for the other two systems (if my as* waz a ATM), PS3-Tekken 6, X360- DOA4, Wii-a lot to choose from

  • Ryuku

    Posted Jul 3, 2006 12:35 pm PT

    they shouldn't do a price drop just yet .. they can still get sales now .. until the ps3 comes then, should they drop price ..

    dosn't matter anyways .. PS3 and Wii is what i care for...

  • Bdawg899

    Posted Jul 3, 2006 12:02 pm PT

    xbox 360 sucks!!! GO PS3!

  • Greatwasabi

    Posted Jul 3, 2006 9:21 am PT

    No offense to you Sony fan boys but I see you both defending the PS3 for the same things you bashed the original Xbox for.

    You used to be like Oh no! Graphics don't matter! It's the quality of games! Besides, the Xbox is a big black ugly box that weighs way too much and costs alot! I'd never buy one!

    Now lets look at the PS3
    -Huge, heavy, ugly *Cough*
    -Expensive, yet high end graphics *Cough*
    -Not looking at a strong starting line up, save for a few games *Cough*

    Oh no! I'm not talking about the Xbox! I'm talking about the PS3! Now how many of you people sat around and said the Ps2 was so much better than the Xbox because it had quality games, and wasn't as big and bulky. I'm telling you right now the 360 already has alot of good games and with Gears of War and Halo 3 on the horizon it's going to blow the PS3 out of the water. Oh and yes, it looks a hundred times better than the PS3.

    But oh yeah, price drop, why would you even need one? I payed like what, five hundred and thirty bucks for a 360, Madden 06, Battlefield 2: Modern Combat, Oblivion, two wireless controllers, Xbox Live Gold, a headet, Wireless Battery Charger, and a stand that keeps the 360 cool. Now tell me, please tell me, would you want all that, or would you rather throw in another eighty bucks which would cover for tax, for your preeecious PS3? Hell, you'd need another sixty to go buy another game, then probably another fifty for a wireless controller if you ever plan on playing with your friends. Of course my deal was a little exclusive, Ebay kicks buns. Just throw out the Live subscrip, battery charger, and two of those games and you can pick up that bundle off of Best Buy. Still a kick as* deal.

    Oh and one question, what is up with seven controller ports on the PS3? I mean seriously, why in gods name would you want seven way split screen? Talk about lag anyways, I know it has Blu Ray blah blah, but trying to squeeze seven way split screen is tough even for that. And besides, it's not like you'd be able to see your screen unless you had a movie theatre to play on. And what the heck, why seven? The screen doesn't divide very evenly with seven, you could have at least gone with eight. Wouldn't have been as stupid.

  • geebus

    Posted Jul 3, 2006 9:06 am PT

    ps3 is a waste. period. Save your money and get a 360 and a wii.

  • judge__judy

    Posted Jul 3, 2006 1:30 am PT

    THANK GOD they made me just go out and buy 1

  • jeff2374

    Posted Jul 2, 2006 8:37 pm PT

    Hasn't there allready been a price drop? It's only 499 CA for the premium package, when before it was like 699 CA

  • Dill-Man

    Posted Jul 2, 2006 8:14 pm PT

    dropping the price is stupid, not even out a year

    i think MS and sony will be pretty close throughout this gen of games, though i believe there is a chance that the Wii will come out on top

    look at the DS, Wii is like the DS in the way that it is totally innovative, different and appeals to the nongamers and (with some games) gamers alike, and it sells much more than the PSP, which, liek this console war, is heavy on the stuff it comes with, and its gear BUT the DS still sells a lot more than it

    i have the DS and i have to say, i like it jsut as much as my 360 and im also getting a Wii to play with friends cause i think think it will be more interactive and fun with outher people than the 360 by a longshot

  • JayPee89

    Posted Jul 2, 2006 12:35 pm PT

    Wake up fanboys, there will be no 360 price drop. The HD-DVD drive will cost at least $250, and you can't have accessories that cost more than the system. You can stop dreaming now.

  • Shuzen

    Posted Jul 2, 2006 11:58 am PT

    AM GETING THE PS3

  • gogokun

    Posted Jul 2, 2006 5:49 am PT

    there really is no need to price drop the 360. It is selling like hotcakes and so are the games. If E3 was any indicator, it has an extremely strong lineup of games coming up, (Gears of War could become the next online Halo) and the games already out are incredible. A price drop for the 360 is really unneccesary. As for the PS3, I expect the die-hard Playstation fans putting down the 700-plus for the PS3 and one game (this includes tax) but sales are going to flop in America and Japan. I'm expecting slightly stronger sales in Europe, though. As for the Wii, I expect record launch sales in America and Japan, and not so great in Europe. So overall, the Wii will dominate Japan, 360 will dominate America and Europe, and PS3 will flop.(Idon't care how good the system is, if it takes 700 plus to play a video game I'll just stick with my 360).

  • jsambeckwith

    Posted Jul 2, 2006 1:31 am PT

    Oh my god! No price drops? The PS3 will only be $300 above it's price!
    OH NOES!

  • Karjah

    Posted Jul 1, 2006 10:55 pm PT

    There arn't any titles on the 360 at this point to justify the 300 dollar price tag.

    Give me dead rising and gears of war and a drop to under 300 and odds are I'll be a little more open to buying one.

    I feel sorry for anyone who already has one of these machines. You even have to pay for maps pc users get for free.

    Microsoft is one greedy cash cow who amazingly has yet to accually make money in the game world.

  • boschetar

    Posted Jul 1, 2006 6:52 am PT

    He stated there are no plans for a price drop, it still could be a possibility though. Announcing a price drop now in advance = low sales until price drop.

  • HotShit11

    Posted Jul 1, 2006 6:31 am PT

    PS3 or new CPU????
    The XBox 360 price is just fine. Sure a price drop would be nice, but 299-399 is very reasonable, considering PS2 cost around 300 when it was first launched.

  • canyoudigit489

    Posted Jul 1, 2006 12:56 am PT

    pity i already bought a 360. And i really dont understand the whole argument with pricing a PS3 $600 . OOohhh it can play BluRay. I mean if Oblivion can fit on a regular DVD, then how big of a game are developers lookin to put on a BluRay disk?? How long do u think it would take to develop a game that big and more importantly, how expensive would it be? In closing... BluRay will probably be a necessity in around eh... 3-4 years. and when games do start needing that extra space, theres always that hd dvd add on, and use of the 20 gig hd. As a 17 year old gamer, i find it hard to fathom the kid that can drop $600 (plus tax!!) for a gamble system. You might as well stick for the already proven system for 200 bucks (and possibly more) cheaper.

  • ultrazone

    Posted Jun 30, 2006 6:45 pm PT

    360 price drop? not exactly necessary. In my opinion, its a reasonably priced next gen console considering its offerings...not that a price drop would be bad. And who knows...we may see a surprise $50 bucks shaved off nearing PS3's launch.

  • jmartin1016

    Posted Jun 30, 2006 5:42 pm PT

    There is no reason to bash any one system in this brewing console war. All three systems have there merits as well as disadvantages.

    The Nintendo Wii has no low start off cost and super fancy controller that is as inovative as it is intriging. Developers are genuily excited about it. However with only one positive launch title it still could be a slow starter.

    The 360 is in a great position right now. It can play the middle of the field due to it's price. It operates on proven hardware that many developers are accostomed to. It has excellent online content that has proven itself over not only the 360's past 8 months, but with the original xbox live. While it does have a fair share of inovative titles it does get alot of PC ports, which is good and bad.

    The PS3 is in an awkward position right now. Their system is going to be very pricey. It is incredibly difficult to develop for. The online features are not proven or even known. However it is obviouse that it has the greatest graphical potential.

    I believe that the 360 will offer the best value for at least the next 2 years. When the Nintendo Wii launches it will have medeocre sales in America, but will donimate the rest of the global market for 2-3 years. PS3 will launch succesfully with decent sales world wide, but I predict major issues with the hardware (cell processor issues). It will take years to get game development for the PS3 streamlined, but by late 2008 it will start to fly. The question is how many people will black list PS3 after they buy one in 2006 and the games are mediocre then it blows out 6 months later. It happened with PS1 PS2.

  • masterchief2371

    Posted Jun 29, 2006 10:04 pm PT

    Just as I expected, no price drop this fall, oh well at least I've got xbox 360 already.

  • Arewex

    Posted Jun 29, 2006 7:41 pm PT

    i s anyone thinking of the exclusivity of the games that the ps3 is expecting. such as MGS4 and even devil may cry 4 may nt be exclusive to the ps3. its really expensive to make these new "next-gen" games. most developers&publishers are going to play the safe game and go multi-platform like x360-ps3-pc. the wii is the only one that will probaly have the most exclusive games outside of firstparty. so my idea is take to middle road, buy a x360 instead of upgrading my pc, and get the wii. x360= $400 + a wii= 200/250 (all of nin's console were sold at 200) total of 600 to $650 instead of just getting the ps3. with these two systems i'll have a great chance of being able to play most of the good games.

  • TrueWarlord

    Posted Jun 29, 2006 3:38 pm PT

    While I was hoping for a price drop in the 360, I guess that I'll just have to hope and wait some more.

    And I was watching a news segment about HD-DVD vs. Blu-ray. Blu-ray disk players are expensive. And I mean $1000+ expensive. After that, the $600 PS3 doesn't seem as outrageously priced as I thought. If Sony's plan to win the format wars is through PS3, it could be a risky gamble because people might buy the PS3 strictly as a Blu-ray player, or they could just avoid it (and Blu-ray in general) like the plague.

  • Sinnicks

    Posted Jun 29, 2006 7:03 am PT

    Makes sense. Why price drop when your major competitor is priced so high.

  • JDiBuono

    Posted Jun 29, 2006 5:13 am PT

    Exactly what was said. They will never announce a price drop until it is about to happen otherwise people will just wait. IMHO, not dropping the price of the 360 would be a foolish move since they are only making money off of the games anyway. Dropping the price would allow MS to get a huge lead over Sony in the coming year. Now to think of it, if they were able to finish Halo 3 by xmas then bundling it with the system would probably be better than a price drop.

  • SystemEncephale

    Posted Jun 28, 2006 6:47 pm PT

    The 360 retails from $300-$400. PS3 will retail for $499-$599. Wii will retail for no more than $250. Okay take what the consoles themselves offer and the price both in to consideration. The Wii is going to be a kids system, Nintendo even stated that they aren't even considering it a next-gen system. The graphics aren't going to be up to par with the 360 and PS3. The Wii is a very simple, fun, console for people who want to play fun games, can deal with them not being the latest and the greatest technology, all for a low price. The 360 is a next-gen console with the latest and greatest in gaming technology, however, it isn't as draw jopping when it comes to all the high end technology as the PS3 will be. But despite that. Gamers who want a high end gaming system simple to play games and nothing more really will go for the 360. The techno geeks who want the best you can buy and will settle for nothing less will go for the PS3. Simple because of Bluray. A price drop is unheard of right now. The console hasn't been out even a year and as it is it will remain the cheapest high performance gaming system on the market even after the PS3 is released. The Wii is going to be a gaming system but it's still going to probably end up being Gamecube 2 as I said it shouldn't even be considered a next-gen console because it won't be running high-end graphics and such like the PS3 and 360 will.

  • megaskrilz

    Posted Jun 28, 2006 4:04 pm PT

    ps3 is not lookin to great did i say great wow i gave it to much credit there i meant not lookin OK

  • nuttabutta

    Posted Jun 28, 2006 3:25 pm PT

    why is everyone talking about Blu-ray being able to store more? Hell, Oblivion fit on ONE 9 GB DVD! How many developers are gonna be able to make a game bigger than Oblivion?

  • StayFrosty

    Posted Jun 28, 2006 8:05 am PT

    they wont drop the price till after another year or so.....they dont understand that sometimes certain ppl cant afford to enter the next generation gaming price for the system alon is like +$399....i am one of those ppl...even tho i am working i still cant afford it one my own.....but in the end what can u do?

  • foxhound_fox

    Posted Jun 28, 2006 8:03 am PT

    I saw this coming... hehe. No doubt M$ needs to prevent the 360 project from going bankrupt [since they are probably selling it for less than it costs to make it] and saying that there will not be a price drop is sure the way to do it... or is it? Because now that everyone hears that there will not be one, they may think differently about buying a 360 in the first place, and move to get a Wii or PS3 or both. All I know is that I am getting a Wii around the beginning of 2007 [or late 2006] and getting PS3 when MGS4 comes out. I have a PC already for the 360 games.

  • keelog_05

    Posted Jun 28, 2006 8:03 am PT

    FFObsessed
    I dont think it would be wise to drop the price of the 360 before the release of PS3. If you price your console really cheap, then people are gonna think its of a lower quality. Its like the Wii, everyone knows its of lower quality and technology to the others, and I doubt too many "gamers" would settle for just a Wii.

    And people will pay the price of the PS3. If your kid wants a PS3 for christmas, is any decent parent in the world gonna say "no, its too expensive". Christmas is the only time of the year when people will spend whatever they can to make their kids happy.

    OMG, are you serious? "Is any decent parent in the world gonna say 'no, its too expensive.'" The quality of parenting isn't based on how big the checkbook is. $600 is a lot of money for ANY console, I don't care if it has BluRay, a 60 gig hard drive and can cook a frozen steak in 15 minutes.

    On to the topic at hand: Microsoft is already losing money on the 360, so to drop the price to compete with a system that will squash the 360 with just the Japanese market would be stupid. The 360 is an incredible value for the price, regardless of BluRay (which I personally think is brainwashing everybody into thinking that a $600 pricetag is worth it... DVD is working fine for games... BDrom isnt necessary; but thats another story). I don't think MS is really 'competing' with anybody... the Wii is in a different league, and the PS3 is really just a different level. If you want a 360, buy one.. if you want a PS3, buy one of those. Don't complain about the 360's price and say in the same sentence that you're going to buy a PS3.

  • akif22

    Posted Jun 28, 2006 6:06 am PT

    good, cos i've already got mine

  • 00Rambol00

    Posted Jun 28, 2006 5:21 am PT

    currrse microsoft!

  • princeofgames90

    Posted Jun 28, 2006 4:08 am PT

    This is bad anyway i'm bying the PS3 comon

  • blackleech

    Posted Jun 28, 2006 2:53 am PT

    I agree that the X360's price shouldn't drop, at least not now. At the most, they might want to cut the price tag a bit during the holiday season and a little more after summer next year.

    Although a price drop might result in better sales in terms of units sold, it will not impact Microsoft's profit significantly. Most people know roughly which console(s) they are going for by now, and if they're aiming for the PS3 the reduction won't do much. Against the Wii, the price drop might help, but then again, the Wii will only be launched next year.

    I think a price drop during the holiday season will do best.

  • kairouz_j

    Posted Jun 28, 2006 1:19 am PT

    personally i just think this is a marketing stratergy for MS. i beleive that MS will create a similar situation as it did a while ago when it realesed the christmas deal. they might not lower the price but MS might give you more for your money, technically according to the article this possibility wasnt ruled out e.g the console with 4 games and an extra controller. i beleive as the Ps3 comes out it will be christmas time, and a lot of people will be shopping around and what do they see? they see a new console worth $1200 (AUS) which comes alone or a console worth $500 -$600 that comes with heaps of extra stuff. logically a non crazed gamer would purchase the 360. i personally think the ps3 is a waste of money as im not totaly fussed with that extra bit of graphics, for me its quantity over quality as the 360 will have a greater amount of games.

  • BlowOffJerk

    Posted Jun 28, 2006 12:48 am PT

    Pfftt I knew something like this would happen anyhow they can take their time nothing good or exclusive has come out that warrents a purchase anyhow...

  • halofreak3487

    Posted Jun 28, 2006 12:16 am PT

    it's a recent system, so i don't expect price drop till prolly later next year. unless the PS3 kills it it in the market or Wii.

  • AzN_K3V1N

    Posted Jun 27, 2006 11:25 pm PT

    they should at least drop their price by $20

  • irk_t_great

    Posted Jun 27, 2006 10:34 pm PT

    Dumb move. they really could've hurt Sony. Maybe sony sold em a deal.

  • volumesoxxs

    Posted Jun 27, 2006 9:06 pm PT

    oh well i just bought one =)

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