If you didn't already know, today Sony announced that they've trimmed the fat on their Playsation 3 by dropping the price by $100. Surprising isn't it? Now the obvious question is whether Microsoft will retaliate with a price cut of their own or keep things the way they are. Industry analyst Michael Pachter thinks a price cut will happen and has gone on record to say that Microsoft will announce a Xbox 360 price drop sometime during E3. How Mr. Pachter sees it is that they'll knock of $50 from the Core and Premium and take $80 off the Elite making the price points $249, $349 and $399. This is of course entirely possible seeing that Sony is stepping on Microsoft's price point territory. Also, we're thinking a price cut is overdue seeing that the console has been out for nearly two years at the same price. We'll just have to wait until tomorrow night to see what surprises Microsoft has up their sleeves and if our 360 will get a fat trimming too.

This article was originally published on Joystiq.

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