phisheep said:
Price won't do it. MS tried that last time and it didn't work, and dropping it even further probably wouldn't work either.
Trouble is, MS really doesn't understand the expanded market in the way Nintendo does, or even the way Sony does. Quite apart from the console not being cute and the controls not being intuitive and the online a free-for-all (but not free for all), there is a real perception problem.
The Wii is a must-have.
A cheaper 360 will be so far down market in perception that it will be 'the console for people who can't afford a Wii'. And that's a bad place to be.
Sure, it will sell some more - but not, in any great numbers, to a market that competes with the Wii core. For a while the numbers will look good in the USA, but that's about it.
Edit: Oh, and they won't get away with 60 dollar games on a 99 dollar machine. Good way to lose the multiplatform to Sony.
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You do understand your edit goes contridictory to the numbers right? Do you think increased diffrence in the gap of 360 vs PS3 will help Sony in any way? On topic I think in the US it could compete with the Wii, but outside of the US I don't know.