Since Microsoft announced the Xbox 360 S at E3 last month, it has been common knowledge that they were planning on releasing a cheaper version to replace the gap left by the no longer manufactured Xbox 360 Arcade, which lacked a hard drive, but presented an affordable option for gamers who did not need the storage space.
Plans to release a 199 Xbox 360 Slim to replace the Arcade were revealed in a leaked Q&A document last month.
Q: Will you sell a $199 version of the new Xbox 360?
A: We will offer a $199 Xbox 360 this fall.
More details have today emerged via Amazon Germany, who has a 4GB Xbox 360 console listed for €149, which is incidentally the price point previously occupied by the Xbox 360 Arcade.
The release date is currently August 21st, which is also Gamescom weekend, so we are anticipating an announcement then.
4GB is a nice jump from the 512MB onboard memory offered by the previous Arcade unit. You could even fit a few Xbox Live Arcade titles on it, although forget about installing your full retail games to hard drive. Also worth noting is that the Xbox 360 can now connect to any USB storage device and use it as its primary storage medium (limited to 16GB).
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