Electronic Arts Cuts Game Prices

The cuts apparently don't affect games made for the latest-generation Xbox 360. Indeed, while GameStop's (GME Quote) Web site and Amazon.com (AMZN Quote), for example, are charging just $29.99 and $26.95, respectively, for Madden for the PlayStation 2, they're both still asking $59.99 for the Xbox 360 version of the game.

EA's price cuts were preceded by similar moves by Activision, Cooper said. "We believe other publishers will follow in the footsteps of industry leader EA," he said.

In the midst of a transition to new game system technology, the video-game industry struggled through a subpar holiday season. Both EA and Activision warned last month that their results would not meet Wall Street's expectations or their prior guidance. According to NPD, sales in December -- the most important month of the year for the industry -- fell about 4%.