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You guys probabaly know all this, but Sony spent a LOT of extra money including Blu-Ray and it cost something like 900 or something like that to produce. By comparison, Xbox360 costs about 600 to make. They are selling at like 400, so they're losing 200 with every console they're selling. This leaves Sony in a bind. If they match MS and sell at 400, then it will take maybe 2 or 3 extra yesrs to make back their money (from game sales and also from falling prices of technology). Even as it stands now, people need to spend 300 bucks in games/blu-ray movies in order for sony to just break even. So it's either release at a high price and not go into as much debt, or release at a low price and take risk not making back your money before the next generation comes. So to spin this back to "console wars" that's what Sony has to consider when it wants to weigh price points/profits vs. marketshare