Microsoft today announced that the price of the Xbox 360 in America is being slashed.  Beginning Sept. 5, Xbox 360 Arcade will retail for the estimated retail price of $199.99, the Xbox 360 console for $299.99 and Xbox 360 Elite for $399.99.

“We are thrilled to be the first next-generation console on the market to reach $199, a price that invites everyone to enjoy Xbox 360,” said Don Mattrick, senior vice president of the Interactive Entertainment Business at Microsoft. “Xbox 360 delivers amazing performance at an extraordinary value with the leading online service and best lineup of games, downloadable movies and TV shows available from a console. The majority of consumers make the decision to buy consoles once the price falls to this mark, making this an important milestone for consumers and the industry.”

Is Europe next? Well possibly since we are the only ones left who havent recieved the discount, we will just need to wait and see.