Over the weekend, Microsoft dropped the price of the Xbox One by $50, brining it down to $299. The timing of the discount lines up with the rumors we heard about a new Xbox “Slim” edition, said to reduce the size of the gaming console by 40%, launching possibly at the upcoming E3 conference. This new model would bring Microsoft’s gaming offering toward the size of the Playstation 4, who since launch had a lead on the Xbox in both size and sales.
Dropping the price now would also allow the newer Xbox the be sold at a higher price. This would allow for the current stock of the One to run out and make way for the new inventory coming in via the Xbox “Slim”. Microsoft is rumored to release multiple devices at E3 alongside the new gaming console like two new streaming devices, with one being comparable to a Chromecast and the other more to a set-top box for casual gaming and streaming games from a full Xbox console.