Microsoft has responded to Sony’s price cut of the PlayStation 3 by announcing that UK buyers of the Xbox 360 HD-DVD drive will receive a bundle of films free.

The Redmond firm's gaming unit has announced that buyers will get five free HD-DVDs when they spend £114.99 on an Xbox 360 HD-DVD drive. With HD-DVDs retailing for around £25 each, the deal almost covers the cost of the drive.

When buyers of the drives make their purchases, they will be given a form to fill out which will allow them to choose from 13 digital films. The movies take 28 days to arrive and the deal will run through to Christmas.

The films available include Serenity, Children of Men, Troy, Corpse Bride, Swordfish, The Chronicles of Riddick, Hulk, The Fast and the Furious: Tokyo Drift, Full Metal Jacket, Black Rain, The Prestige, Dreamgirls and World Trade Centre.