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Graves said:
I don't think there is much Sony can do to compete. They can't do a price drop because they'll lose more money. They lose 3rd party exclusives because they sell the least consoles this gen. I'm sure Sony will come out of this with some profit but that goes to show no company can release a game console for such a high price.

It's slightly different: the current exchange rates situation means that they can't do a big cut in USA without losing money.

A cut in EU and Japan is possible, especially if done as late as possible before next Xmas. This means that currently and in the short and mid term Sony hasn't any hope to compete stronger in USA, but it can consolidate its 2nd place in Japan, take it bach in EU and compete stronger for it in Others and, in the mid term, compete stronger for 2nd place WW.

Wii is still out of reach, though, and, as I wrote above, most probably the war, limited to USA, is lost this gen, so the best hope for Sony is to end 2nd WW and content itself of 3rd place in USA but limiting losses.

If and when $ is stronger again, USA will eventually be able to get better prices, but the gap there by then will be very difficult to fill.



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