Microsoft and Sony to cut prices
Reuters | at | by Mike
Microsoft and Japan's Sony on Wednesday announced fresh price cuts for their video games consoles in Europe, adding fuel to a raging price war between the two rivals. Within an hour from each other, both Sony Computer Entertainment Europe, a unit of Sony Corp, and Microsoft said they would cut the suggested retail price of their consoles to around 249 euros ($244.80), from 299 euros. Console makers traditionally lose money on the sales of their hardware, which they make up with some $10 royalty revenues they receive on every game sold. Games sell at between $40 and $50 and gamers typically buy four to five titles a year.