Microsoft cuts Canadian Xbox 360 console prices

TORONTO (Reuters) - Microsoft Corp (MSFT.O) announced late on Wednesday it will cut the prices of its Xbox 360 video-game consoles as it continues to battle Nintendo's (7974.OS) Wii and Sony's (6758.T) PlayStation 3 for dominance of the gaming market.

Microsoft said it would cut the price of the Xbox 360 console to C$349 from C$399, while the premium Elite model with a larger hard drive would drop to C$449 from C$499. The more basic Arcade model is dropping to $279 from C$299.

($1=$1.01 Canadian)

(Reporting by Wojtek Dabrowski; editing by Rob Wilson)