Ok guys this is my first "prediction' on this website so here goes. I believe in the holiday seaons in the US and UK, MS are going to go all out (similiar to what shinobi said) and try to secure most of the remaining xbox 360 players base and perhaps others that havent made up their mind about what next gen console to buy. The reason i say, "remaining 360 players base" is that , whilst some have jumped ship to the ps4 (which i dont doubt) and already to X1,  i personally believe there is still a strong player base remaining on the 360.

Now this is possibly open for dispute which i am aware so please go easy on me :)

Now for me actual predictions, some may overlap and be based on different circumstances:

1.  Big prediction here, MS are going to suprise us with a 299 X1, possibly just the black unit (imo they dont need need this, but i think it can make a siezable impact in winning US and UK and honestly, who would be turned down?)  

2.  If the above prediction is wrong, a bundle will be released in the US and UK with the MCC and  a themed X1, 399 dollars

3. Coupled with the number 2 prediction, MS will release a black X1 at 350 dollars. This will be a standalone unit with perhaps 1-2 free games of your choosing, probably just 1 if i might add.

All of these predictions above, IMO keeps MS with a definate chance of  perhaps retaining the US and UK  markets in this generation and will keep X1 sales relevant enough to probably make another next generation console. Now as i said before its just for UK and US because atm, those are the only markets still in contention so to speak. Japan is lost and Europe will be an extermely hard battleground for the xbox to perhaps remain revelant. Now before fanboy comments at me (lost all respect lol) currently i am a X1 owner and looking into purchasing a ps4 sometime in the futre. Bottom line is i want BOTH consoles to succeed so that the market can be competitive and deliver us with great exclusive games that people can enjoy, on either platform.

Now enough rambling, what do you think?

I don't think a price drop is on the cards until next year, early or late depending on how they do this holiday season. I think you're right though as much as ps4 has dominated since launch, the US and UK are still realistic targets to make sure the X1 can get a competitive second place this gen.

According to our hardcore Xbox residents, the X1 is doing just fine. So I don't see a reason for MS to drop the price officially this holiday. Of course 399 bundles will be plenty and some temporary local retailer price drops.

I guess only time will tell :)

MS is desperate to catch up to Sony. I am predicting that they WILL cut price and bundle this holiday. I've been saying this for a while now. They'll do anything to beat Sony.

Im thinking sometime in the spring. Sony will quickly counter cut.

PS4 beat Xbox One with $449 destiny bundle where Xbox One gave free game with it. Problem is Xbox One doesn't have the momentum. It will take a lot of effort to get the momentum.

The biggest problem with resorting to a drastic price cut in an attempt to undercut the PS4 is that Sony is all but likely to have their figurative finger on the button to price match the same day any price drop becomes effective.

It's a given that SCE designers and engineers are well on their way to both minor hardware revisions as well as the inevitable complete redesign with the interest in mind of reducing the BoM as soon as possible. So it won't be an imaginary scenario in which MS can afford to cut losses on each unit sold and SCE can't. They can and they will in good time. If they have to do so a bit ahead of schedule, they probably will.

At that point the question becomes a fairly pointless "so does the Xbox One have more value at $299 than a $299 PS4?" Nothing would be changed although consumers would be happy to get the $100 discount and sales would increase for both consoles.

The best course of action for the XBO will be the same course of action MS has taken for the last 3 odd years: offer holiday bundles by adding free games to increase perceived value without resorting to any permanent price cuts.

The concept must have been considered successful, given that SCE started doing the same thing for the holidays.

^ which is why I believe if they cut the price or put appealing bundles to the public, that momentum will come slowly but surely

It won't change anything if the PS4 remains the same price. 

It's already fact that even at the same price with free games thrown in, making the XBO a better price value, that the perceived value was not tipped in favor of the XBO based upon sales and consumer perception. The PS4 still handily outsold it. 

Unless the argument is changed to become "there are more potential customers for the XBO at $299 than there is for the PS4 at $299" which is pretty baseless, there's no reason why the XBO would build any sort of momentum unless directly driven by the software catalog and major exclusive releases, which have nothing to do with console price comparisons.