In addition, the Redmond company announced that a new 60GB model will be unleashed upon unsuspecting gamers.

The 20GB Xbox 360 gave up on the old price tag ($349) and now bears a new one, reading $299. With this price cut Microsoft hopes to get rid of all the remaining 20GB consoles as soon as possible, especially since there’s a new model coming in in the near future.

The new 60GB Xbox 360 is to retail for $349. Incidentally, the new model will cost $50 less than its direct competitor, the 40GB PlayStation 3. The latter now retails for $399 and, according to Sony’s recent statement, it continue to do so for some time, as no price cut managed to make its way on the company’s agenda.

Aside from these two models, Microsoft also offers the Xbox 360 Arcade for $279 and the Xbox 360 Elite for $449. The latter’s special feature is the 120GB hard drive, while the Arcade takes pride in not having such a device.