slowmo on 16 March 2009
@Willem - The main difference is Microsoft as a WHOLE are still making money, Sony aren't. Microsoft have huge cash reserves, Sony don't. Microsoft are in the strongest position to do whatever they like right now. The last time Sony cut prices Microsoft did pretty much nothing so they could keep some profit coming in to cover the RROD cost they wrote off. This time round they're looking feisty and can choose whether to reply or not.
If Sony are mad enough to cut the cost by $100 then there is no point in Microsoft replying with their own cut immediately as it wouldn't significantly stop the boost to the PS3 or give the 360 much of a boost. The 360 at its current value has at least another year of demand IMO.
