Microsoft is all set to release the much awaited version of the XBox, with a whooping 60 GB capacity at a price of $360. The new 60 GB version has more space to store games, TV shows and movies marketed by Microsoft through XBox live.

This new model will make the identical 20 GB version, obsolete. However, Microsoft has reduced the price of the 20 GB model from $349 to $299, which will remain in effect till stock lasts.

There is no change in price for XBox Elite ($280) and XBox 360 Arcade ($450).

On the other hand, Sony and Nintendo have not made any change in prices of the PlayStation 3 and Wii.

Microsoft is also planning to sign up a deal with Netflix Inc for streaming movies and TV episodes to the XBox, through a high-speed internet service provided by Netflix Inc.