Microsoft Corp. has slashed the price on its popular Microsoft Xbox 360 game console for the first time in more than one and a half years. The move will make the new-generation game consoles available at lower pricing and is also likely somewhat reduce the scandal with unexpectedly high failure rate of the device.

From now on, Microsoft Xbox 360 core version will cost $279, Microsoft Xbox 360 premium package will cost $349, whereas Microsoft Xbox 360 elite version will be available for $449. As a result of $20 - $50 price slash, Microsoft lowered the price of the core console version nearly to the level of Nintendo Wii, which retails for $249.

“The fact that we have been able to keep our launch price longer than any other console while retaining our leadership position demonstrates that consumers believe in the value of Xbox 360. On the eve of the best holiday games lineup ever and the launch of ‘Madden NFL 08,’ there has never been a better time to jump into Xbox 360,” said Mitch Koch, corporate vice president, global retail sales and marketing group, entertainment and devices division at Microsoft.

Microsoft Xbox 360 console is based around microprocessor developed by IBM, high-definition visual processing unit designed by ATI Technologies, I/O controller engineered by SiS and some other key components. The gaming machine provides a broad set of multimedia capabilities in addition to games.