Microsoft  today kicked off a price war in America by announcing it will reduce the recommended retail price of Xbox 360 by $50 beginning Aug. 8.

“The fact that we have been able to keep our launch price longer than any other console while retaining our leadership position demonstrates that consumers believe in the value of Xbox 360,” said Mitch Koch, corporate vice president, Global Retail Sales and Marketing Group, Entertainment and Devices Division at Microsoft. “On the eve of the best holiday games lineup ever and the launch of ‘Madden NFL 08,’ there has never been a better time to jump into Xbox 360.”

Xbox 360 will enhance the value of its entire family of consoles beginning on Aug. 8. At a new ERP of $349.99 (U.S.), Xbox 360 offers an unsurpassed experience right out of the box with a 20GB hard drive, wireless controller, Xbox 360 headset, and more. For those looking for the ultimate value and the freedom to customize their console as they see fit, Xbox 360 Core System now has an RRP of $279.99 (U.S.). Xbox 360 Core System provides everything needed to start gaming while giving consumers the ability to add new features and accessories they want. Dressed in black and equipped with a 120GB hard drive, Xbox 360 Elite will be priced at an RRP of $449.99 (U.S.) for those who want the premium games and entertainment experience. In anticipation of this year’s largest blockbuster game launch, the Xbox 360 Halo 3 Special Edition Console will hit store shelves in September with an ERP of $399.99 (U.S.). Featuring an authentic Spartan green-and-gold finish, this console will include a matching Xbox 360 Wireless Controller, Xbox 360 20GB hard drive, Xbox 360 Headset, an Xbox 360 Play and Charge Kit, and more.