Earlier this month Microsoft started selling Xbox 360 Elite with 120GB hard drive for $299 to compete with recently announced PS3 Slim for $299. However, Microsoft knows that PS3 offer more hardware features like Blu-ray drive and integrated WiFi at the same price point. So the company has started offering additional $50 mail-in rebate to new Xbox customers.

The mail-in rebate is available on the purchase of a new Xbox 360 Elite Console from September 22 to October 5, 2009. To get the mail-in rebate you will have to fill and print the online rebate form, and then send it with qualifying proof of purchase no later than November 20, 2009. You can get more information about the $50 mail-in rebate on Xbox’s website.

In other Xbox related news, Ars technica is reporting that Microsoft is planning to ship Xbox 360 Elite bundle with Pure and Lego Batman games in mid October, after the above mentioned rebate program is over. Also Microsoft has confirmed the existence of 802.11n adaptor priced $99. When Microsoft ships the new wireless adaptor it will drop the price of 802.11g adapter to $79.99.