Now that the PlayStation 3 price cut on the 60 GB model ($599 to $499) is in full effect, analyst Michael Pachter is predicting that Microsoft will soon follow suit with a price cut of its own.

Pachter expects the recently released Xbox 360 Elite to drop from $479 to $399, the Premium to go from $399 to $349, and the standard Core model to drop from just $299 to $249. He believes the recent announcement by Sony has put pressure on Microsoft to lower the current price point of the Xbox 360.

Expect to hear an official announcement on the price cut tomorrow, if Pachter’s predictions pan out. The only question now is: what about a Wii price cut?

Microsoft to slash price of Xbox 360 – Pachter [GI.biz]

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