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DMeisterJ said:
Since MS cut prices and still made money that means Sony needs to too!

Not really. Sony just revised their forecast for operating income in their game division down ¥30b due to the appreciating Yen. With Microsoft being a US company they are unaffected by this, unlike Sony.

The appreciating Yen basically means that to Sony PS3 has already received a price cut in NA & EU this year. They had originally forecast ¥105/$1, but now expect ¥100/$1. US PS3 has dropped in price from ¥42,000 to ¥40,000. With Euro the drop is larger. They originally forecast ¥162/€1, but now expect only ¥140/€1. EU PS3 has dropped from ¥64,800 to ¥56,000.

Expecting them to cut prices under the current circumstances is pretty unrealistic.