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Xbox prices drop

Johannesburg, 09 Sep 2009

Microsoft has dropped the Xbox Pro console from its range and cut the price of the Elite box by 30%.

Heinz Stephan, technology director at Xbox distributor Comztek, says the price drop came into effect at the beginning of the month and orders from retailers have picked up 20% in the past week.

Microsoft cut the price of the Pro console about a month ago before discontinuing the range, Stephan says.

He adds that it is too early to judge what sales in stores will be like, but the company expects good sales in the run up to the festive season. Stephan adds this is the time of the year when gaming sales traditionally start picking up.

In addition, as a result of the weak economic climate, people are shifting spend from going out, to in-house entertainment, which bodes well for festive season sales, he says. “There will also be attractive bundle deals in shops for Christmas.”

Comztek has also seen an increase in sales of black controllers, which Stephan says is a good indicator of Elite sales as the boxes are also black. The Elite boxes are now at R3 399.

Last month, Sony launched a cheaper version of its PlayStation 3, the PS3 Slim, which is expected to reach European shops early this month.

Arthur Goldstuck, MD of research company World Wide Worx, says in some areas there is a shift towards home entertainment. He says it is more viable to create a home entertainment system than to rely on public offerings such as the cinema.

“The cinemas have done a tremendous job of promoting home entertainment.”

Goldstuck says the associated costs of going to the movies have sky-rocketed. “Popcorn and Coke have become the ultimate rip-off of the consumer experience.”

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