The more interesting pondering to do is what would Microsofts move be if the price cut doesn't work? I mean if it works the response from Sony is clear, they can answer with a price cut of their own. But if the price cut do not bring the xbox360 sales solidly above the PS3 in the US, I am not sure what Microsoft could possible try next, apart from maybe buying EA and making all their games Xbox360 only.
The reality is that Microsoft desperately need this price cut to get their sales surging. They are already losing credibility with 3rd party devs and a weak response to this price cut could be devastating in the long run. When cross platform titles like Madden sells 550,047 on the PS3 in the US and 879,634 on the Xbox360, even though the Xbox360 has over twice as many consoles out there then it is a clear sign of trouble in paradise for Microsoft.
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