Toyko - Microsoft has announced plans to cut the price of its Xbox 360 video game console in Japan by 13%, giving the device a new price tag of $305 as of Nov. 1.

Rival Sony recently announced a new 40GB PlayStation 3 that will sell in Japan for about $347.

While sales of the Xbox 360 have remained in second place this year behind Nintendo's Wii in the U.S., in Japan, sales of the Xbox 360 (122,565 units) have trailed sales of Sony's PlayStation 3 (503,554 units), according to data from Enterbrain.

In September, the Xbox 360 leapfrogged the Wii into first place in the U.S. for the first time this year, capitalizing on demand for the Xbox-exclusive game "Halo 3."

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http://tinyurl.com/39rv38 (Reuters)