However, Xbox Group Product Marketing Manager Jeremy Hinton made no mention of their rival's promotion when making the announcement. Instead he opted for the "demonstrating our commitment to offer savings to consumers" angle.
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The Xbox 360 Arcade is now priced at $349, down from $399, the Xbox 360 Pro comes in at $499, down from $579, and the Xbox 360 Elite is now $649, down from $729.
Microsoft says that the Xbox 360 console is the only place this year consumers will be able to play all of the following soon-to-be-released games Gears of War 2, Fable 2, Viva Piñata 2, Too Human, and Banjo Kazooie: Nuts & Bolts.