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Paris Hilton holds an Xbox 360 goody bag  (Source: MSN Entertainment)
Xbox 360 price drop spurs hardware sales prior to Halo 3 launch

NPD Group released last week its video game sales data for the month of August. To no one’s surprise, the month once again belonged to Nintendo. The Wii and the DS continued to be top sellers, with Nintendo’s home console holding top spot at 403,600 units and the portable selling 383,000 units. 

The big change for August was Microsoft’s surge that put the Xbox 360 past the PS2 and PSP. During the month, the Xbox 360 sold 276,000 units – a considerable jump from July’s 170,000.

Sales of the Xbox 360 were clearly boosted by a price cut of the console enacted by Microsoft on August 8. Retail prices were cut by as much as $50, making the Premium console $349, the Elite at $449 and the Core at $279.

Gamers looking to buy into the Xbox 360’s impressive fall line-up may have found the price drop reason enough to pick up Microsoft’s machine. Madden NFL 08 for Xbox 360, which released mid-August, became the top selling game for the month with 896,600 units, beating the second best-selling PS2 version by over 250,000. 

The anticipated release of Halo 3 is another driver of Xbox 360 sales. Microsoft’s marketing machine is firing in all cylinders, devoting millions of dollars into cross-promotions to reach non-traditional gaming channels. As a first, 7-11 convenience stores are taking pre-orders for Halo 3 and will be selling the game at 12:01 A.M. on September 25. While at 7-11, gamers may also purchase Game Fuel, a limited-time Mountain Dew drink branded with Master Chief.

Sony’s hardware made up the latter half of NPD Groups sales list. The PlayStation 2 remained Sony’s top seller with 202,000 sold. The PSP, even only a month shy of release of the slimmer, lighter hardware managed to move 151,200 units. The PlayStation 3 maintained a second month of six-digit sales, with 130,600 sold.



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360 outsells PS3 two to one
By mcnabney on 9/18/2007 11:18:10 PM , Rating: 4
And the PS3 continues to underperform.




RE: 360 outsells PS3 two to one
By ruibing on 9/18/2007 11:26:24 PM , Rating: 1
It is hard to say in August and September with the Halo 3 hype. The main contest is in November and December between PS3 and 360, when all the preholiday games have been introduced. And we need to look at both U.S. and Japan.


RE: 360 outsells PS3 two to one
By rudy on 9/18/2007 11:48:58 PM , Rating: 5
Is Christmas a big holiday in Japan?


RE: 360 outsells PS3 two to one
By smitty3268 on 9/19/2007 1:26:37 AM , Rating: 2
Sort of, the big holiday is actually New Years and Christmas gets carried along for the ride - more as a retailers thing, though, than something with any religious significance.


RE: 360 outsells PS3 two to one
By Master Kenobi (blog) on 9/19/2007 7:39:24 AM , Rating: 5
As if Santa Clause and presents in the U.S. has anything to do with religion....


RE: 360 outsells PS3 two to one
By Spivonious on 9/19/2007 8:49:47 AM , Rating: 2
You mean Jesus and Santa aren't related????? My world has been shattered :(


RE: 360 outsells PS3 two to one
By clovell on 9/19/2007 10:41:52 AM , Rating: 3
Well, without religion, we wouldn't have St. Nicholas (aka Santa Claus)...


RE: 360 outsells PS3 two to one
By Locutus465 on 9/19/2007 10:50:13 AM , Rating: 2
Perhaps you're not very religious? St. Nicholas isn't a fairy tale, he's a very real sait that lived long long ago. He didn't fly around in a slay powered by 8 tiny raindeer, but he did exist.


RE: 360 outsells PS3 two to one
By killerroach on 9/19/2007 9:21:57 AM , Rating: 2
Although the Japanese are pretty good at patching together a curious amalgam of cultural and religious traditions... I remember one person using the analogy that, in terms of customs, it wasn't unusual in parts of Japan to be "raised Shinto, married Christian, and buried Buddhist". To each their own.


RE: 360 outsells PS3 two to one
By afkrotch on 9/20/2007 8:23:45 PM , Rating: 2
Christmas time is big for sales. New Years is big for those stupid bundled bags. Every New Years in just about every store, they will create a bundled bag. The bag is usually paper and sealed, so you cannot see what's inside. They will cram all the junk that did sell into them and sell them off for a semi-reasonable price.

Expect to see a gift bag of like, three Xbox 360s in them, as those aren't selling worth crap in Japan.


RE: 360 outsells PS3 two to one
By therealnickdanger on 9/19/07, Rating: -1
RE: 360 outsells PS3 two to one
By FITCamaro on 9/19/2007 11:46:24 AM , Rating: 2
Yes, for their gaming business, Sony is doing better since its selling two different products whose combined sales out pace Microsoft's.

But thats like saying Ford is doing better than GM because they sell more cars total than just the single Chevy brand of GM.


RE: 360 outsells PS3 two to one
By therealnickdanger on 9/19/07, Rating: 0
RE: 360 outsells PS3 two to one
By afkrotch on 9/20/2007 8:38:06 PM , Rating: 2
Actually, you shouldn't look at the forest while the trees are being planted, as you don't know what's going to happen in the future.

The console wars have barely started. Maybe Nintendo will replace it's Wii in a couple of years with something more updated. Taking an approach more reminiscent of their handhelds. This leads to them selling millions more consoles and games, while making tons of money. With each new Wii revision, it not only supports all the old games, but adds in new features. 1080p, HDMI, Blu-ray, HD-DVD, USB3.0, etc.

Maybe Microsoft will spend billions to snatch exclusives in Japan. This leads to more Japanese buying the console and more Japanese developers jumping onto the 360. Microsoft jumps past 65nm and pushed a new 45nm Xenon and Xenos procs. This alleviates all RROD issues and lowers production costs.

Maybe Sony ends up finding a way to greatly reduce production costs of the PS3 and ends up being able to give a $250 price drop on the machine, putting it well below the Xbox 360 Premium and Elite prices. This leads to 6 million consoles being sold in a couple months and over 15 million in 1/2 a year.

Course, who's to say what will happen. Not me. All I know is that I enjoy games on both my Xbox 360 and PS3. Nothing worthwhile to me for the Wii, so I haven't bothered getting it.


By SaySomeThingOrDIE on 9/22/2007 4:14:57 PM , Rating: 2
Yeah, but how many defected X360 are there?!!
this is one of my posting.

The problem is that about 68+% of all X360 manufactured from 2005-2007(February)[MS only sold 11+ million X360], all factor in this "recall" (call it whatever, extended 3 year warranty or send it back..) I found there's been complaints about: Faulty DVD player(about 10+ million games own by consumers have been scatched), Hardward Failure, HardDrive defect (HD failure, software is mostly to blame.), video/audio defect (faulty connection to the motherboard and other things), overheating (happens to all consoles when you play for 18 hours straight. But with X360, it's still a computer, which produce 3+ time more heat than a PS2,PS3; 8+ time more than a Gcube/WII.)

The probability that MS will spend $3+ billion on 4-5 million X360 sold during 2005-2007. MS was receiving about 2,500 X360 a day for the the past year. And that's about 2.4+ million console with defect. And there's no doubt that there's several class action suits against MS right now.


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