Last week saw rumours circulating as to a possible drop in the price of the Xbox 360, but now those rumours have been cruelly stamped into the dirt.

The rebuttal comes after comments last week that the Xbox 360 has a “sweetspot” price of $199 (£100).

Speaking on Gamerscoreblog.com David Hufford, an Xbox market management director, said that the 360 is simply doing too well at the moment to consider a drop in price.

"With Xbox 360s selling well at their current price point, Elites selling out at $479, and an insanely great portfolio of games in the market, there's no reason to announce any kind of price drop any time soon."

"The comment, which is accurately reported, unfortunately has now been taken way out of context and being reported as if I am signalling a price drop. I was not, I am not", he stated.