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Sony probably has some good reasons - beyond profit - for not cutting the price.

Look at it this way. Ther have been engaged in a game of 'chicken' with Microsoft, waiting for who would blink first.

Microsoft has blunk, with aggressive price cuts. But there is a chance that these will backfire in the long term - that Xbox 360 will end up being seen as the console for those who can't afford a Wii or a PS3 - the low-end alternative.

Maybe not in the US, but possibly everywhere else.

Idon't expect Sony to do anything for another six months at least. And maybe not even then.