Recent evidence has shed light that the Xbox360 arcade is to have a price cut down to £100/$199.99. It is comonly claimed that the £100 price tag is when a console realy takes off, indicating that the Xbox 360 will once again see the dominance it saw prior to the launch of the Wii.
The Wii is currently dominating at the price of £180, despite the Xbox360 arcade being around £160 there hasn't been a significant market shift. However now that the arcade is being reduced to £100 we will see a huge difference; we can expect the other model to follow suit. The 20GB being bought down to £160 and the 60GB coming in at £180.
These price cuts will mean that gamers who previouly set out after Wiis may instead pick up a £100 arcade and games instead of simply the Wii. However we will also see parents contribute, if they are aware their son/daughter is into video games then the arcade is the perfect present for christmas or birthdays.
However it will also be be only £10 dearer than the PS2, which may finally kill off the final of the last gen consoles. The PS2 still acounts for a large amount of Sonys income and is still selling fast due to its low price tag, with a nex-gen console to rival it then the PS2 may not live for much longer.
Is 2009 the age of the Xbox 360 where we will see the domination Microsoft are aiming for or will consumers ignore the price tag and head towards the more favoured Wii, only time will tell.
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