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Zkuq said:
It would be an epic win for Sony for the rest of the generation. That's simply because the cut would be huge and Sony would still have room for more cuts later. MS would surely try to make a cut, too, if the PS3 gained momentum. They, however, don't have very much room for cuts unless they plan to go below $100/€100.

Oh, and a cut to $2999/€299 is very unlikely to happen as they're losing money even now and the bad situation of global economy has made their losses even greater.

An epic win? This isn't taking into account 3 things:

 

1) Half of all 360 sales are Pro/Elite versions, which aren't that far below the price of a PS3.

2) Microsoft could easily respond with a price cut to keep the Elite priced competitively against the PS3, which having the other versions say notably cheaper. The 360 is notably less expensive to produce than the PS3, so MS can always keep their price lower, while losing less money than Sony.

3) People have short memories. The last generation is over. The era of everyone buying Playstation because it's Playstation is in the past. Every day that Sony doesn't drop the price substantially, and people buy and love 360's, Sony permanently loses former PS2 owners in this generation.
 And as much as people think $299 is the magic price to turn things around, the magic price point, as history clearly shows, is $199. Will the PS3 be there anytime soon? No.