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I think they willl respond with a 3 game core bundle for the Elite and a 2 game family bundle for the Arcade. This is pretty much looking like a repeat of the 2007 holiday season. Remember after the 2007 price cut the Xbox 360 was $50 cheaper than the 40GB PS3 AND the Core (not Arcade) was a gimped model @ $280.

The damage last year:

VGChartz Hardware data for the period 28th Oct 2007 to 05th Jan 2008:

 

Console PS3 X360
Total
3,626,897
3,407,774

Which wasn't at all that severe. The Xbox 360 dominates the U.S. relatively and the U.S dominates holiday sales relative to the rest of the world.

Lastly: It pays to remember that its the cost out the door with games and accessories you want which is important. Its the total cost of console + bundle of games you get/buy which matters the most.



Tease.