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FishyJoe said:
Even a half billion dollar loss could potentially wipe out all of Sony's profits for the year if the electronics sales fail to deliver. Putting up a loss this year would lead to massive changes at Sony, and could potentially ouster the current leadership.

It's easy to say lose more money when it's not your money or job on the line.

Very good point Fishy.

One thing to mention guys is that price isn't everything. The PS2 outsold the Gamecube despite it's lower initial price and it price cuts. Wiis also still sold online for higher prices then PS3 and X-Box360s. One issue to remember is that the PS3 isn't useful to consumers. They don't care about HD when DVD works fine. Most Wii owners hardley connect their Wii online, so why is it a big deal. Sony opvershot the values of the consumers. In some ways, the best way to increase profits to reaffirm the buyers. I'll tell you the game coming out of Sony are not/will not do that.