As I menioned before in this thread, you can't look at whether a price cut is coming or what it will do to the PS3 without considering Sony's weak finances at the moment. They've put themselves into a catch-22, they can't afford to keep losing money in video games, to make money they need to sell more systems, to sell more systems they need to cut the price which will cause them to lose even more money over the short term. Especially since cutting the price may not boost sales if MS and Nintendo follow suit and would only lose even more money. Over the long term they could just ride out this storm, wait for cost to come down, and hope (which is all it would be) to come back from behind in 2009. Unfortunately for Sony they probably dont have the finances to do that and would be risking the entire company if they decided to find out if they did.