We should have seen it coming. With the pound weakening against every other currency and the losses of nearly every company in the last year something had to give. Only the most cynical of us however would have anticipated it coming in the lead up to Christmas, traditionally the most profitable time of the year for the gaming industry.

Microsoft however are going for the jugular this year and hitting us right where it hurts, the wallet. Gift buyers in the UK will no longer have the £129.99 Arcade unit to choose from if they want a 360. Unlike the now defunct Pro model however the Arcade unit will still be sold but for the increased price of £159.99, and that’s without the previously included five arcade games.

This news comes from retailers who also confirm that peripherals may also undergo a price hike of a few extra pounds on each item come September 1st.

It seems like a strange in the lead up to Christmas, as it’s a move that can only lead to fewer software sales as money is eaten up on the console purchase. Or maybe this is MS looking for a way to drive people into buying the Elite so they spend more on online content. Either way, if Sony follows through on the suspected upcoming price drop I wouldn’t be surprised to find that this increase never actually materializes.

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