Microsoft is riding high off a banner quarter. The cloud business is doing great, so why not take some chances with Xbox division. The console was beset with problems at launch. Mainly it was more expensive and less powerful.

Xbox One can’t do anything about the power disparity, but it can make moves on price. And with the holidays approaching, what do you think parents are looking at? The graphics GPU or the price tag? Exactly.

Starting November 2, and for what the company says is a limited time, a Kinect-less Xbox One will retail for $349. If the $50 isn’t enough to get you to pull the trigger, the price carries over to Xbox One bundles. Yeah, the Assassin’s Creed Unity bundle will retail for $349.

Those hardcore Call of Duty fans will have a limited edition Xbox One bundle. It will feature a console with a 1 TB hard drive, a custom controller, a limited edition exoskeleton and a digital copy of the game. Price? $449.

Other bundles include the Sunset Overdrive, which will feature a limited edition white Xbox One. The game releases Tuesday.

After the earnings call that gave the Xbox division a vote of confidence, the company is interested in moving units. The discounted Xbox One’s will be available in just about every major retailer. Expect the advertising to heat up as the holiday shopping season gets started.

You have to wonder, why not keep the price here? Sure, PlayStation 4 can claim to have the more powerful system, but Microsoft is in a position to undercut the economic argument. In the current consumer climate, money talks and specs walk right on by.

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What do you think? Is the move by Microsoft just a promotion, or is this pricing tier here to stay? Sound off in the comments.

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