Feb. 25 (Bloomberg) -- Microsoft Corp., maker of the Xbox 360 game console, said it will stop production of HD-DVD high- definition players and reduce the price of existing stocks by more than half.

``From tomorrow, we will cut the price to $49 and will not make any more of the HD-DVD players,'' said Grace Chou, a Taipei- based spokeswoman for the Redmond, Washington-based company. Microsoft's Xbox 360 includes a DVD player, and customers can buy an HD-DVD machine for use with the console at $119.99 through retailers such as Amazon.com.

To contact the reporter on this story: Tim Culpan in Taipei at tculpan1@bloomberg.net.

Last Updated: February 24, 2008 21:51 EST