Microsoft Corp. and Sony Corp. cut European prices of their rival computer game consoles on Wednesday as the race to stoke demand in the run-up to the crucial Christmas season began.
U.S. software giant Microsoft said it would cut 25 percent off the price of its Xbox in continental Europe to 149.99 euros ($183.70) and cut the UK price to 99.99 pounds ($183.10) from 129.99 pounds.
Within an hour, market leader Sony also cut the price of its top-selling PlayStation 2 console by a quarter to 105 pounds in the UK and to between 149 euros and 159 euros in the euro zone.
Price cuts, the first this year, are routine in the run-up to Christmas. They were announced at Europe's biggest computer games fair in the German city of Leipzig.
Microsoft's price reduction will start on August 27, while Sony's begins immediately.
A Nintendo spokeswoman in London said there were no price cuts planned for its GameCube console.
