U.S. retail stores this week price cut Microsoft Corp.’s Xbox 360 4GB with Kinect bundle by $50 in a new hardware initiative.

This week, Best Buy Co. Inc. and Kmart stores price cut the Xbox 360 4GB with Kinect bundle to $349.99, $50 off the $399.99 MSRP.

Microsoft in Q2 sold 8.2 million Xbox 360 units.

The hardware has sold 66 million units worldwide to date.

In addition, Microsoft has sold 18 million Kinect sensors and holds 40 million Xbox Live members.

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