Our sources told us over the weekend that Microsoft has decided to be a scrooge this year and not add an extra title to the Xbox 360 Arcade package this holiday season. Unlike last year that saw the company decide to add Sega Superstars Tennis to the Arcade package for the holiday season, Microsoft instead will go with the same “Xbox Arcade” bundle disc that they have been using for a while now.

The “Xbox Arcade” bundle disc will include the same titles as last year, but in case you need a reminder, the disc includes Pac-Man Championship Edition, Feeding Frenzy, Luxor 2, Boom Boom Rocket and the ever popular Uno.

According to our sources, Microsoft is said to have had many discussions about adding another title to the Arcade package for the holiday season, but it was decided that beyond bringing the “Xbox Arcade” disc back for the holiday season, the addition of another title was just simply not necessary and would not really make that much of a difference; and it is also said to leave Microsoft some breathing room to slash the price of the Arcade for the holiday season to make sure that the Xbox 360 retains the title of the lowest priced console for this holiday season.

Due to the price drop of the Nintendo Wii to $199, Microsoft is said to be a bit more nervous than they have been in the past that the Nintendo will really impact the sales of the Xbox 360 this holiday season; perhaps more than they have in the past. By opting not to bundle an additional title this time around with the Arcade, the pricing flexibility exists to execute a price cut closer to the end of the year, even as much as $20. We suspect that if price is dropped before the end of the year it will move to $179. Our sources are already telling us that seeing the Arcade at $149 for the 2010 holiday season is already a very real possibility.