In an interesting move, Microsoft has announced that they have slashed the price of Kinect from $149.99 to $109.99. The move was confirmed by none other than Microsoft’s own Major Nelson. Word is, however, that the price drop is unique to North America, Latin America and Asia Pacific regions. Kinect will also see a price drop in Australia and New Zealand. There are no plans to adjust the price in any other regions at this time.

What we don’t know yet is what will be included with Kinect after this price drop. In the short term, retailers that we spoke with tell us that they will be selling out remaining inventory, which currently is primarily the Kinect Sensor with Kinect Adventures.

As for the future, Microsoft has not indicated that there will be any change; so we suspect that it will continue to be bundled with Kinect Adventures for the time being. The price drop is an interesting move as the company heads into the holiday season. But it could be driven by the amount of upcoming titles that will offer Kinect support to be released this holiday season that are part of the driving force behind the pricing decision.