In re price: don't forget the rate of inflation -- it's a bit above 3% a year, and that adds up over time. That $199 magic price-point in 2000 would be close to $299 in 2009 dollars. Assuming an annual $100 reduction in price - perfectly reasonable, because electronics drop 35-40% a year and Sony has moved aggressively on PS3 cost reduction - Sony's game-plan looks like this:
2007: $499 Early adopters and HDTV aficionados get it
2008: $399 HDTV crosses 50% penetration, mass market builds
2009: $299 HDTV universal, mass sales take off