PS3 price cut coming soon??

[TheSource]

I doubt it...there are other components to the price, including research, marketing and development, not to mention the actual gaming part to it. I think the blue ray cost would need to drop to $350 or so for Sony to consider this... Additionally, since they are not selling fast right now, it is more difficult to weed out the inefficiencies in manufacturing for price reduction. Still, if Microsoft drops the price of 360 this year I can see it happening. But keep in mind, a 360 price drop has a) no bearing on Japan, where 360 is irrelevant essentially and PS3 is cheaper, and b) it seems as if the majority of software sales this year will be on DS/Wii in Japan, PS2/DS in Europe, and 360/DS in the Americas, meaning profit is far less likely anytime soon with a (significant) price drop. I think Sony could do it if really forced to though, because PS2 sales still largely offset PS3 costs. However, with PS2 sales declining, and PS3 a loss leader, it would be risky business because no one knows when PS2 sales will finally fall off in the west as they largely have in Japan... Lastly, if Sony does drop the price this year, it will appear to many because they are 1) getting their asses kicked or 2) 'trying' to look like the emerging market leader as Microsoft did when it dropped the Xbox price in May 2002...