Is the Xbox 360 price cut enough to go after the Wii?

With the new Xbox 360 price cut official what does this actually mean for gamers? Just like the discussion we did with Sony's PS3 price cuts and hardware refresh, we like to play devils advocate again and discuss the flip side of the coin and what a price cut actually translates to gamers.

Microsoft has indicated their desire to go after and take a piece of Nintendo Wii's market share. That is why Microsoft has focused so much resource on the social aspects to Xbox Live such as the new Mii-like avatars and the Nintendo like channels in the new dashboard.

It makes sense, if you want to go after a target audience you have to emulate what the successful competitor is doing. With the new Xbox 360 Arcade priced below.....