Well Sony is making a profit on PS3 sales in the UK and are losing €40-€50 in EU and losing $50 in NA so they can afford to do a price war to about $350 then it would be stupid because they would be losing too much money on each one sold.
End of 2014 Hardware Predictions (03/03/14)
PlayStation 4: 12-15million
Xbox One: 7-10 million
Wii U: 8-9 million (Changed 01/04/2014 from 7-9 --> 8-9 million)