This may be Sony's last chance to change their ways.

[NJ5]

@RPG: $163 is not 3 games unless you think that retailers, distributors, tax offices, Blu-Ray disc manufacturing etc. doesn't take a cut. It would be more like 6 1st-party games at least (not counting bundled ones).

By the way this was a conservative estimate, I think the price cut will have to come sooner than halfway through the fiscal year if there's any chance for the PS3 to sell 13 million. So the $650 million loss from hardware could easily be much closer to $1 billion, or $250 extra needed per user if we assume 4 million people buy the PS3 because of the price cut.