NJ5 said:
Are we sure about that? The fact that 360's price cut happened at the same time makes it hard to tell.
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I agree with TheSource. The faltering economy hit Sony two fold. It made a $400 PS3 a more difficult product to sell. In addition, it caused the weakening of the Euro and the Dollar which made reducing the price on the PS3 financial suicide. Basically the economy made it hard for Sony to sell the PS3 at its current price and made reducing the price in response a financial impossibility. I think that qualifies as the recession hitting the PS3 first.