Since August 18th Amazon has offered the Microsoft Xbox 360 Elite 120GB Fall 2009 console for $399.99. Since Sony unveiled the $299.99 Sony PS3 Slim rumors about a price-cut of the Xbox 360 Elite to $299.99 are circulating.

Update: Xbox 360 Price-cut is official. Elite now only $299.99

The Xbox 360 Elite with its 120GB is Microsoft’s closest offering to compete with the PS3 Slim. Now that Microsoft is offering the most expensive console, it is clear that they have to act. See also this in-depth report on the PS3 Slim and Xbox 360 stand-off.
Engadget published a scan of an allegedly leaked Walmart ad that has the Xbox 360 Elite at a $299. If real, this would be more evidence that Microsoft is close to announcing a $100 price-cut on the Xbox 360 Elite.
I could not really find any info if the New Xbox 360 Elite 120GB Fall 2009 is any different than the former Xbox 360 Elite.

Update: Sony is now already releasing the PS3 Slim tomorrow. Are they anticipating a Xbox 360 price-cut? More details.