While it's not yet fully fleshed out, we have details on the stingray retailing for between 99$ and 149$ (personally, I'm leaning toward 149$), and we know it will basically be a regular 360 but without a disc drive (though possibly have a port to plug one in).

When you think about this console, especically at the 99$ level, what will Sony do as a counter?

Let's look at some options:
Gaikai ps3 box.
With a straightforward gaikai box, Sony could actually put together a Stingray (which must be always connected, remember) for cheaper than a stingray, using the regular ps+ package price to stream games directly to the consumer. This could be done for 99$...or 99$ plus a 99$ year subscription.. or even free with a 99$ subscription.
(Additionally, they could add in a BluRay drive for movie playback)

PS3 without BluRay player, 120GB harddrive
A console like this could basically do what stingray does, however, it would likely still be over 100$.

Or, they can just lower the price of the ps3 to 199$ and pack in like 6 games. :D

What do you think? Do you think Sony will introduce a competitor to Stingray? And in what form will it appear?

Don't mess with that stingray, Sony. Remember what happened to Steve Irwin.

Sony will do nothing "against" stingray. Price wise, MS has a lot more options than Sony will ever have (The 250G XBox360 is now selling for $89 at some Mediamarkts here, that gives you an idea about how far MS can go).

Sony will bring out a similar box, but it will be using Steam client...

Joking aside, wouldnt sony just reduce the cost of the 12GB machine version? They have kept the price higher than it can be so they can get additional profit, but they do have some room to reduce the price. One thing that was interesting a few years back (dont know if this is still true), but the cheaper arcade Xbox sold less than the normal Xbox, so it maybe that the Stingray/Xbox mini might not sell that well... even with a reduced price. But they will probably phase out the other 360 boxes, so that might still work i guess.

Where Do you live ?

lol I was about to ask the same thing.

They shall bring their version, code name "Panther".

I'd totally buy this for 99 bucks.

The stingray is pretty much a 720 peripheral right? are people expecting this the take over the other 360 model or something?

It is not a periperal, it is a standalone device used as a competitor for, e.g., appletv, with the benefit of 360-hardware in it. It can *also* be used to enable bc for Durango - according to rumors, of course.