Rumor: Natal priced at $149, out in late October

Project Natal will release worldwide on October 26 for $149, according to “a trusted source” of Edge Online, a price point far above the previously predicted and rumored $50-$80.

The source has also whispered that Microsoft has plans to bundle the motion controller with an Xbox 360 Arcade unit for $299.

Furthermore, the device’s final name is said not to be “Natal” — still officially a codename — and its actual name is expected to be announced at E3 in a few weeks’ time.

Microsoft reportedly has a strong casual launch line-up for the device and is planning “a major marketing campaign” which will play “a key role in attracting and educating the expanded audience about Xbox 360’s controller-free revolution”.

“Microsoft expects to sell millions and millions of Natal units in its first year on the market so you can expect the software launch line-up to target non-traditional gamers,” the source says.