To coincide with the Xbox 360 price cuts going into effect today, Microsoft is offering deals on several pieces of popular downloadable content. They're also cutting the price of a certain overpriced peripheral.

Until the end of October, there are varying discounts on select DLC from six games:Mass Effect, Elder Scrolls: Oblivion, Lost Odyssey, Forza Motorsport 2, Guitar Hero 3, and Beautiful Katamari. The Bring Down The Sky module for Mass Effect has been reduced from 400 MS Points to 300 while the Shivering Isles expansion pack for Oblivion has been reduced from 2400 Points to 1600. The full list of offers is available at Major Nelson's blog.

Also, Microsoft has permanently reduced the price of the 120 GB hard drive for Xbox 360 from $179 to $149. Yes, it's still stupidly overpriced compared to computer hard drives but hey, savings are savings.

Update: Additionally, Best Buy is now selling the discontinued 20 GB Xbox 360 "Pro" for $259.99, instead of the normal $299.99. Makes sense, seeing as the new 60 GB "Pro" is now $299.99. Amazon is selling it for $259.99, as well. Probably goes for all retailers.