In the never ending war to be the most affordable current-gen system on the market, the 20GB Xbox 360 looks like it’s going to be on the receiving end of a $50 price cut, which would bring it down to $299, in the US.  The rumor has been floating around for some time now, and is backed by some pretty legit-looking retail ads which were leaked.

There has been no official word from Microsoft regarding this, but that’s to be expected with E3 right around the corner, which would mean it would be following the path of similar rumors in the past — a few weeks before a big industry show, some news gets leaked and the thunder is taken out of the company’s presentation without them ever even getting a chance to surprise us.  Regardless, the Xbox 360 is definitely in need of something to stimulate sales. With the PS3 slightly outselling it in the last few months, Microsoft has to do something if they want to solidify their second place position in the states.