While Xbox 360 has comfortably outsold PS3 in the US throughout 2011, the recent price cut for Sony's console is having a marked effect, and analyst Michael Pachter reckons Microsoft will have to react if its system is to hold the No.1 position this Christmas. He told IndustryGamers the battle between the two high-definition consoles will be a "close call" this holiday season, but predicted: "If Microsoft does nothing, I think PS3 will outsell Xbox 360.
"However, my friends at Microsoft are extremely proud, and they absolutely refuse to tolerate the possibility that the PS3 will outsell the Xbox 360. I think they have the ads printed for the Xbox 360 price cut, and will drop them on us the instant they see PS3 sales greater than 360 sales.
"In the meantime," he added, "I think we'll see a reduction in the price of the Xbox 360/Kinect bundles (similar to Wal-Mart's "goof" last weekend), and Microsoft will use that to keep the PS3 at bay until they decide whether to match price for the console only."
In Europe at least, Microsoft said last week it's confident that a range of upcoming Xbox 360 games and bundles will be enough to help the console gain the No.1 position.
Starting next week, the Xbox maker will be adding a downloadable copy of Child of Eden to its existing Kinect hardware offering in all Xbox Live territories apart from Japan.