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Microsoft is reducing the price of the Xbox games console from 14th March 2008.

In Europe, there will be a drop of 80 Euros on the 20 gigabyte hard drive model, bringing it down to 270 Euros.

In the UK the price cut is £40 (which is equivalent to about 52 Euros). However, this brings the price down to £149.99 (about 196 Euros), which actually makes it cheaper in the UK than in the rest of Europe. (Is that a first?)

So how does this place the Xbox in the console wars?
It means that it is now cheaper than the Sony PlayStation 3, and the Nintendo Wii.

Top-level Xbox models are also cheaper; The Xbox 360 Elite with a 120Gb hard drive will be £259.99, compared with Sony’s 40Gb console which retails at £299.99. The Nintendo Wii is priced at £180.

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