I'm taking turn the tide to mean can this help 360 actually outsell PS3 and make inroads on Wii customer base.
I suspect it won't although it does remain an outside possibility.
Will it help stem the tide somewhat, slowing rate of PS3 marketshare growth particularly - it stands a good chance of that although a lot will depend on reactions to new games on each platform over the next two months.
Given this is the second price cut in Europe in a year its pretty obvious that at least in this territory there is more than a hint of desperation to not get left behind in the move. These latest cuts I'm sure are reducing profits for MS as I believe they very likely outstrip any matching cost reductions, and there is a small chance that while they stimulate sales ij they reduce the 'image' of the console as the high end HD console vs the PS3 for those to whom price isn't a deciding factor.
Still, I think given trends in Others/Europe this year MS had no choice. To leave things as they stood would be to effectively accept a fairly distant third in this marketplace (even allowing for YOY growth for 360 the PS3/Wii YOY was really starting to bite the console's marketshare in the region).
Try to be reasonable... its easier than you think...
