He said: "I think Xbox 360 Slim is coming, although I don't think they will call it Slim since the PS3 is called that. I think there is a cheaper version of the Xbox 360 console coming out. I think it will probably have a different graphics card and processor, and if it does exist they will save around $20/30 on each unit," he said on the latest GameTrailers Pach Attack show (via VG247).
"They won't cut the price on this unit. Instead they will bundle it with Natal and perhaps a 250GB HDD for $299, see if they can get 8-10 million units out there and make Natal their future platform," he added.
"So yeah, I think a Slim SKU is coming out, but no, you won't be able to buy it cheaper than $299 until at least next year."
Claimed leaked images of the slim Xbox and its innards were confirmed by Microsoft to be fake earlier this year.