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Of course a price-cut would increase demand for the PS3. However, a Sony will have to find a way to decrease the price of production first.. With the increase in production from the Europe launch, and its newer better games coming out, and the hopeful implementation of HOME, if they can increase monthly production enough, it might happen sooner than later. I am basing this on the fact that it is cheaper for a factory to operate at 80% capacity than say 50%.