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Microsoft Corp cut the prices of its Xbox 360 video game console in Europe by up to 28 percent on Monday to try to spur sales in a key battleground in the fast-growing industry. that is the second price cut for the Xbox in Europe in less than a year. Last August, Microsoft shaved 7 percent off the euro price of its low-end model and 13 percent off the main Premium model.

The 80-euro decrease results in cuts of 18 percent to 28 percent across the three Xbox 360 models, bringing the cheapest Arcade version to 200 euros ($307) and the high-end Elite to 370 euros ($568).

The reductions come as Sony Corp’s PlayStation 3 appears set to capitalize on the company’s recent victory in the high-definition DVD battle and on a slew of highly anticipated new games hitting the market that year.

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