I've been saying this over the last year. Sony overspent in winning the HD war, and are now in a crunhing situation. What good is slashing prices if you're losing money on the item? How is that good business case analysis in this current economic environment. I only took a few economic theory courses, but unless you REALLY expect massive growth, there's no way to rationalize such an investment. Sony is FAR from dead, but 8000 jobs cut is a signifigant amount of jobs to be slashed, and they are shutting down 10% of their manufacturing capability...not good.