Recent speculation from analysts have cast Microsoft's 360 price cut as increasing sales of the console only modestly. Despite the fact that the Xbox 360 Arcade SKU has undercut Nintendo's Wii to become the cheapest current generation system, Wedbush Morgan analyst Michael Pachter expected the decrease to drive only an additional 15-20 percent sales over the next twelve months, while EEDR analyst Jesse Divnich has stated that the console can figure on only a 20-30 percent bump in the short term.
But some of GameStop's top executives are telling a different story. Speaking exclusively to Edge at GameStop Expo in Las Vegas, the retailer's senior vice president of merchandising Bob McKenzie and executive vice president of merchandise and marketing Tony Bartel feel that, at least for GameStop, such estimates are overly conservative.
According to McKenzie, "It's more in the range of a two to fourfold increase. It's significant.'