Microsoft slashing Xbox price

July 14, 2008 3:15:49 PM PDT
Microsoft is trimming the price of its Xbox 360 to make way for a new model with a bigger hard drive. The price drop had been expected. The video game console dropped from $350 to $299.

An updated Xbox 360 is set to arrive in stores in early August. The $350 replacement will feature a 60-gigabyte hard drive. That will allow a lot more space for users to store games, TV shows and movies Microsoft sells on its Xbox Live marketplace web site.