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The peripheral, which allows Xbox 360 owners to play HD DVD format high-defintion titles, previously sold for $179.99 and $199.99.
Toshiba last month price cut all stand alone HD DVD Players following an announcement from Warner Bros. that it will produce high-definition content exclusively on Sony Corp.'s Blu-ray disc.
Sony in Oct. 2007 released a $399 40GB Playstation 3 SKU to U.S. retail. Each unit includes a built-in Blu-ray disc player.
Retailers this week are promoting steep discounts on HD DVD products.
Amazon.com on Wed. slashed the Xbox 360 HD DVD Player to $79.99 to spur sales to the No. 1 rank in the Video Games division.
Additionally, it cut 50 percent off more than 100 HD DVD titles this week.
Circuit City this week began offering a Toshiba Satellite laptop with a built-in HD DVD drive, a free Bourne Ultimatum on HD DVD format, and a wireless router for $799.98 after rebates.
Stand-alone Blu-ray player sales recorded an 82 percent share in the week ending Jan. 27. HD DVD recorded the remaining 18 percent, according to data from Nielsen VideoScan.
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