In the surest sign yet that HD-DVD is going for all out price slashing in its attempts to claw back the hi-def initiative, Amazon in the US has dropped the price of the Xbox HD drive to a mere $80. That’s forty round pounds!

£40 for a decent hi-def drive ain’t half bad, right? Well, add to that six free HD-DVDs and you’re looking at the best bargain on the web.

Seeing as discs are shifting for $25 in the US, it works out that HD-DVD is losing out to the tune of $70 to keep the format alive.

We’re all for a spot of price cutting, but it strikes us that things really are starting to get desperate in the battle for your hi-def virginity.

Still, at this price, you can probably afford to back both sides and tidy up when it comes to the inevitable sell off when HD-DVD loses out for good.

We’ve been on the phone to Microsoft and Amazon about whether this deal extends to the UK, but have had no word as yet. As soon as we hear, you’ll be the first to know.