Hot on the heels of Microsoft slashing Xbox 360 prices in Japan, the long rumored price cuts for the Xbox 360 in the U.S. look to be a reality. And yes, the Xbox 360 Arcade model will now be cheaper than the Nintendo Wii. Based on Radio Shack and Walmart advertising pamphlets, as well as Best Buy and GameStop employee reports, Newsarama is reporting that the most substantial cut is being reserved for the “starter” Xbox 360 Arcade, which only ships with a 256 megabyte memory card.


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The Xbox 360 Arcade will drop from $279 to $199 starting September 7, pricing it below the current going rate for the Nintendo Wii. And Microsoft isn’t leaving the Pro or Elite models out of the party. The Pro and its new 60 gigabyte harddrive will drop from $349 to $299, while the 120 gb Elite model will drop from $449 to $399. No cuts have been announced for the 20 gb Pro models, and Microsoft has yet to confirm the other price drops. Of course, the evidence has been out there for quite a while now