I really dont see why the 360 needs to be even cheaper. In Australia the middle 360 (60 gig) is like $300 cheaper then a ps3 and im pretty sure the next model up is $200 cheaper, the arcade its like $450 cheaper. I bought my dad the arcade the other day puerly because its soooooooooo cheap! and for casual gamers the arcade 360 is 110% perfect! and $450 cheaper then a ps3!
The ps3 would need to drop $200 to be on a competing level with the 360 in Aus and I doubt it will get cut that much, considering the looses Sony has incured. And even though they have cut production costs if they drop the price they will be right back where they started, making a huge loss.
Sony may not be caring to strongly about Ms current win in the HD gaming market and they may be looking puerly at their own sales. If they continue to make their target at the current price there is no need for the company to drop the price. Just because we see everything as a competition doesnt mean the business world has to.
A price drop may put sony in a worse financial position then if they maintain the price with current sales. Financial position should be sonys number 1 priority right now, not winning a console war.
If at first you don't succeed, you fail
