Another Xbox 360 price-cut is rumored to hit in September and bring down the XBox 360 console price to the magic $199 price-point.
Arstechnica published the new price-cut rumor a couple days ago. According to Ars, Microsoft would offer the Xbox 360 Arcade for $199, the Xbox 360 Pro (60GB) for $299 and the Xbox 360 Elite (120GB) for $399.
A screen taken from an unnamed retailer that appeared on VGCharts confirms (if authentic) the new low $199 price of the Xbox 360 Arcade, which currently sells for $279.99.

Microsoft is rather bad at keeping secrets, so this dramatic Xbox 360 price-cut is highly likely. Selling the Xbox 360 far cheaper than the Nintendo Wii should really put pressure on Nintendo to at least make sure there are Wii in stock for the $249 price for the holidays. If stressed parents cannot find a Wii, they will divert to the way cheaper Xbox 360.