Microsoft: Xbox 360 Core Is Here To Stay

Is a price cut on the way

Posted by Staff
Microsoft: Xbox 360 Core Is Here To Stay
According to the vice president of Microsoft Game Studios, Shane Kim, the Xbox 360 Core system is here to stay.

When asked in a recent interview what the future holds for the Core configuration, Kim said:

“It's definitely here to stay. We've got a great line up from Core to Elite, and there's that set of customers that want the lower price point who want the vast majority of the functionality of the Xbox 360, and you get that with the Core.”


There has been much speculation that, with the release of the Elite, the Xbox 360 Premium bundle will move to occupy the market position previously held by the Core system and the Core itself will fall away.

Kim's comments come in the midst of renewed rumours that a price cut is on the way for the 360. Leaked adverts from Wal Mart, Toys 'R Us and indicate that the Premium bundle will shed $50 (£25) from its US price of $399.99 (£197), while a flyer from Circuit City (which leaked news of the PS3 price cut) indicates that the Elite will be reduced by $30 (£15) and the Core's price will drop by $20 (£10).

With the rumours coming from three different sources, it seems unlikely that the reductions come from retailers rather than Microsoft. Comments from Kim, however, suggest otherwise. “For the PS3 I think there's a huge problem”, he said. “To take a price cut this early in the life cycle... what does that say? We have a ton of confidence of the content portfolio of Xbox 360 and Xbox Live and that's why you're not seeing a price reduction from us.”

Kim seems to be sending out mixed signals at the moment, however, having recently said that Microsoft is "working on that area" while discussing cutting prices to attract the casual gamer.

Kim also indicated that the high failure rate for the 360 (which has resulted in Microsoft extending its warranty) might be due to the console being rushed out in 2005. “You know I'm not a hardware guy, and I think it's fine to speculate that it might have contributed to the failure rate”, Kim said. Of course, saying “I think it's fine to speculate” might just be Kim validating our right to have an opinion on the subject. Cheers, Shane.
Companies:
People:

Comments

config 1 Aug 2007 13:42
1/3
Kim went on to say*
"We'll continue to offer our customers, which of course includes parents and newcomers to video games, something our competitors cannot match; a fragmented product offering with the unparalleled potential to confuse our audience. Indeed, at some point down the line we'll probably bolster this array of options with a line of Xbox 360s that include an integrated HD-DVD or Blu-ray drive. Overcoming the very real limitation of DVD capacity, this expansion of the Xbox 360 offering will put out customers in a unique position; further bewilderment at the parade of configurations"


*no he didn't

DoctorDee 1 Aug 2007 15:32
2/3
Kim wrote:
“For the PS3 I think there's a huge problem”, he said. “To take a price cut this early in the life cycle... what does that say?"

This guy lives in a glass house, with glass windows, glass furniture and glass floors. He has a glass refrigerator full of glass food, and still he's wanging boulders right left and centre...

The PS3 got a bundle after 6 months (US, three months UK) while the original Xbox got a £100 price slash less than two months after launch...

What does THAT say about Xbox. About the same as Microsoft dropping it like a hot potato-shaped poo after three years.

Saurian 1 Aug 2007 21:00
3/3
The PS3 got a bundle after 6 months (US, three months UK) while the original Xbox got a £100 price slash less than two months after launch...

What does THAT say about Xbox. About the same as Microsoft dropping it like a hot potato-shaped poo after three years.



PS3 got a $100 price reduction 2 weeks BEFORE it was released in Japan, supposedly its biggest market. What does THAT say about Sonys confidence in its product?? ..... Plus the fact they got rid of Mr, Playstation. Ha Ha.
He was treated like Sh.. sorry Poo.
Posting of new comments is now locked for this page.