US: New 60GB 360 confirmed; price cut for 20GB model

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Microsoft has kicked off what could be a pivotal week for the platform holder by introducing a new 60GB Xbox 360 and cutting the 20GB SKU in the US.

The new model will retail at $349, while the 20GB console has been slashed from $349 to $299 while stocks last - suggesting that the SKU will be phased out.

It means that US consumers now have the choice of the hard drive-free Arcade 360 for $279, the 60GB model for 349 and the 120GB Elite, which stays at $449.

Expect to hear plenty more from Microsoft at this week's E3 - the MCV team will be out in force reporting live from every press conference that matters.