Microsoft has officially announced that it will be lowering the prices of all of its Xbox 360 consoles in Europe and South Africa from the 14th of March.

The Xbox 360 Arcade will retail at £159.99 or R1 999.00 (£40, R700 cheaper), making it the cheapest next-generation console, notably cheaper than Nintendo’s Wii. The Xbox 360 Premium, including a 20GB hard drive and one wireless controller, will retail at £199.99 or R2 999.00 (£50, R700 cheaper) while the Xbox 360 Elite, which includes a 120GB hard drive, will retail at £259.99 or R3 999.00, a saving of £40 or R600.

Widening the market

Microsoft also revealed that the Xbox 360 is the number one next-gen console in Europe, the Middle East and Africa where it owns 42% of the market in terms of life-to-date revenue. The company also claimed that the Xbox 360 has the highest software attach rate in Europe with over seven games sold per console compared to the PS3’s 3.8 and the Wii’s 3.5.

Chris Lewis, Vice President, Microsoft Interactive Entertainment Business Europe commented “Xbox 360 is now mass market in Europe. We have reached and surpassed several key milestones that form part of our long term strategic plan to achieve critical mass in Europe; and our portfolio now offers the kind of mainstream entertainment experiences that secure wider appeal for Xbox 360. These factors allow us to execute on our strategy to widen the market for Xbox 360, as planned.”

“History shows that £159.99 is the price point where a console’s audience begins to expand, and with these new ERPs in place we’re ready to bring more consumers into the Xbox 360 world.”