Sony held off and it worked out for them, the 360 did not get well ahead of the PS3 yet Sony did not have to cut the price by $100. After the hardware revision Sony will be able to cut the price yet continue to make the same amount of money per unit sold as they are now.
MS will cut the price of the 360 but fact of the matter is that the PS3 will be $300 thus many more people will get the PS3 and not opt for the cheaper decision. MS will just have to keep pumping out software soon, also not quite sure why MS PR are baiting Sony into dropping the price because once that happens there in trouble.







