Playstation 4 has Europe, Asia, and Japan wrapped up. Those markets support Playstation even in the worst instances. With PS4 being the best console on the market, there is almost nothing the competition can do to change the momentum. At this point it would take new hardware to sway people away.

The USA, however, is a different story. There is little brand loyalty, and people are willing to up and leave for cheaper devices with similar or lessers services regardless of how good the service is on their current device. Americans walk into the store and look for the cheapest device that suits their needs. This has done wonders to the PS4 to this point, but that was then, and this is now. With Microsoft dropping the sticker price $50 below the PS4, Americans will flock to their system. 

Many will say we have seen this all year. MS has bundled games, gave away free games with the purchase on an Xbox on, and just about anything else that can be done to be competitive or have an advantage. Again, non of that put the sticker price on XBO below PS4. Now that is the case, and now Sony needs to react.

The US is a massivly important market, and the only place Sony has to put up a fight to win. They need to stay on the attack, and not let Microsoft gain any footing. Playstation is the one device they have left that is leading its industry, and they need to do whatever it take to keep the momentum rolling, and build the biggest gap they can between themselves and their competitors.

So, Agree? Disagree? What do people think about Sony focusing on their most difficult market?

Sony can't be complacent, they must go for the throat in holidays at least keeping the same tag price as MS.

True, but it needs really nothing to combat X1 still. This push from MS will have same results as the others.

At this point X1 needs the type of price advantage the 360 had over PS3, $50 is not enough to sway most. It will mostly motivate people that would have got a X1 either way. They just end up with it sooner this way.

No no no no. I think Sony should be laid back in America. And let MS overtake them there. Then struggle to be best selling in America. Closer Gaps are best for Industry.

This would mean MS will still do bad in Europe.

Sony just need to sell what they can make. Microsoft need to sell what hasn't already sold.

These things MS are doing wouldn't really change much. For bragging rights they can say they won november and december, but if winning means that they sold 20k-100k more than the PS4 in those months thats not really anything. Especially if come next year its back to PS4 winning every single month again. It doesn't really change much just stops the gap from growing as fast as it could. But the gap is still there.

Having said that sony will respond though, they have no reason not to. It will take nothing out of them to drop their price by $50 for the holiday season to and bundle a couple of older games or even a new game. The amount of consoles they would sell in europe will make up for whatever hit they may take for selling in the US at a lower price.

Personally I don't think they will actually drop their price, I think they would just up the value of the $400 box. They can sell the PS4 at $400 with Infamous, TLoU, KZ:SF and Knack and it would make any difference to them whatsoever.

Sony don't need to do anything for Xmas. PS4 will be the hot product for Xmas as it has been since its release.

I'm not sure Sony as a whole can take the hit, they need all the cash they can muster

Let's assume the PS4 sells 2 million units in the USA with a $50 price cut, that's $100m in lost revenue in theory

Of course, they're trying to work out how many more consoles will be sold with that cut. For every console sold, you'd assume 2 games and maybe half a controller. Between those things, they probably add an extra $50 short term, then the extra install base will provide an extra $60-100 per year per console (2-4 games, 1 first party). Maybe another $50 when you consider PS+

So I don't know if they need it. I think the console is selling well enough and it's still the "cool console" that people want. On the other hand, a price cut might deliver a killing blow that will give them "control of hearts and minds" retaking what they had with the PS2

They don't need to do a single thing. They will though, because retailers want as much sales as possible.

Sony can't do anything to lower the price. They could but they'd lose money, and I don't think sony is exactly in the position to lose money. So unless you really want Sony to go out. Keep telling them to lower the price.