Microsoft has Xbox 360 price cuts in the works as well?

Oh, don't act so surprised. Was there ever really any chance that Microsoft would let Sony get a free ride for long on price cuts and start swiping console sales? Wedbush Morgan analyst Michael Pachter doesn't think so, and he's come out with predictions of price cuts across the board for the Xbox 360, in response to Sony's impending $100 PS3 slash. Michael expects the Elite to drop from $479 to $399, the Premium to sink from $399 to $349, and the Core to fall from $299 to $249. He seems to think it's connected with the Xbox 360 shipment shortage of late -- which could just as well be caused by a potential heatsink revamp, but his price-cut logic probably isn't far off either. Unfortunately for those of you waiting for a Nintendo console to make less of a dent in your wallet, Wedbush Morgan doesn't expect the Wii or DS prices to move by the end of the year, as sales remain strong for those two.

[Thanks, Pachter]