My guess is that Sony are going to ride it out and bank on games to sell systems. The simple reason I think this is the case is because of the huge bump in support the PSP has recieved as of late. Sony have probably gone down the route of not going for a price drop but instead using that money to increase support for the PSP.
If it works out for Sony the PSP will be selling very nicely in the west again and in the future Sony will be able to cut the price of the PS3 and still make the money they are on it at this price.
:/







