Real Xbox 360 Price Cuts on the Horizon?

Microsoft played the role of tease at E3 by announcing that the Xbox 360 would see a $50 price cut, and the only catch was that it was only for the Pro model with the 20GB hard drive, and it was only temporary until the unit could be replaced with the new 60GB version, which would retail for the normal $349.99. Gamers were excited, then flummoxed, then irritated, and now sit in a state that can best be described as "antsy."

The rumor mill is turning once again, as it appears that Microsoft might be planning a real price cut, and this time it’s permanent and effective for all models. According to a Radio Shack flier dated September 7th, the Pro and Elite units will see a $50 drop to $299 and $399 respectively, while the Arcade price will tumble $80 to $199.

While this news was enticing enough, the punch has been sweetened as a companion rumor has sprung up claiming that the suddenly super-cheap Arcade unit will feature the long-rumored 360 motion controller, which will also be sold separately along with a game bundle for anyone who doesn’t want to plunk down the scratch on a whole new system.

This is one of those rumors that has big potential, but something also smells fishy. On the one hand, magazine scans proved to be legit the last time Microsoft dropped the 360 price, but this talk of the motion controller gives me pause. Thus far, Microsoft has been quick to deny any talk of a new controller, and with E3 over and Leipzig wrapping, the only possible time for them to debut such a device will be at PAX next week. However, considering the only source quoted for this part of the rumor is "a source close to Microsoft’s marketing department," it sounds like it may just be wishful thinking. Price cut looks solid; motion controller does not.

TGR Verdict: Price cut is Very Likely, new controller is Unlikely