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  Microsoft Slashes European Xbox Prices. U.S. Next?
Time: 00:17 EST/05:17 GMT | News Source: Microsoft Press Release | Posted By: Robert Stein

Microsoft Corp. on Thursday slashed the price of its Xbox (news - web sites) video game console in Europe and Australia and sharply pared its forecast for early sales of the machine, conceding it has struggled after a high-voltage launch.

U.S. game publishers cheered the European price cut, and analysts said it was evidence that Microsoft would likely cut the price of the Xbox in the United States later this year in order to gain ground on archrival and market-leader Sony Corp (news - web sites).

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