Digitimes, the premier news source in usual bullshit rumors, has a new one today that actually seems a legitimate, kind of. They are reporting that there will be a $100 price cut on the Xbox 360 Premium bundle, bringing the price down to $300 so that they can later bundle the HD DVD player with the Xbox 360 for $400 and still have a solid competitive price on the PS3.
Microsoft, to prepare for the price cut, has negotiated reduced production costs for the Xbox 360 with Taiwan-based manufacturing partners, stated the sources. The manufacturers estimate that the total production cost can be reduced by 15-20% due to diminishing costs for most components along with increasing production scales and decreasing defect rates, the sources pointed out.