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Well, if they low the price for 149$ for arcade probably ms would be looking to the pretty good PS2 sales, they're offering a much more powerful systems with many more good releases nowadays for just 50$ more. I wonder how much a x360 costs to MS in order to know if it's really worth cutting price...

But anyway, i think they don't make the shit strategy of lose money for system sold anymore, to price cut probably they will cut costs first and just re pass the minor manufacutiring cost to consumers without losing profit per unit.