There may be more to that Xbox 360 Price Drop story then we first realized. According to a ‘trustworthy Microsoft Insider’ who leaked information to Ars Technica, not only will the 20GB 360 be getting a $50 price cut, but a new 60GB SKU will be hitting store shelves to replace it once its supplies are diminished. The leak says that the afformentioned bundle will be announced by Microsoft at E3 and will be going on sale sometime this month. The (soon to be) $299 20GB version would then be discontinued, effectively making the new price a mere clearance of sorts.

This one seems pretty plausible, but there is still the question of the 60GB SKU’s price point. My prediction is that, if this whole thing does turn out to be true, the 60GB model will launch with a $349 price tag while its lesser equipped sister SKU fades away at $299.