EON

Boston (EON) – Microsoft has made the move to announce a price drop of the Xbox 360 HD-DVD Player dropping the unit down from $199 to $179 in the United States to better compete with Blu-ray.

It would be an understatement to say that Blu-ray is just winning the next-generation media war as they have been killing the HD-DVD format thanks to full support from the PlayStation 3 as well as movie studios.

Anyone who buys the HD-DVD player in August or September will also receive five free HD-DVD movies which makes it a bit sweeter of a deal. If you consider that 5 HD-DVD movies would cost you about $30 a piece anyways you are only spending about $20 for the actual HD-DVD unit as they try to catch up to Blu-ray and avoid extinction of the format.

This deal only applies to the United States as Europe is actually big fans of the HD-DVD format.