Competition is a side effect of the industry and direction. It is a Blue Ocean within a Red Ocean. Though almost 100% the company that maintains the Blue Ocean will end up engulfing the Red Ocean. Thus changing the landscape/water ways of the industry forever. It's pretty clear that we are already seeing this effect with Sony Wand and Natal and a shift to Console Entertainment Software(insert obligatory console insult here about PC already going through this state of growth here). I do want to stress that it's Software Entertainment from the idea of Games.
There is indeed a correct idea in thinking that reduction of price is a good idea. By no means do I think it's a bad idea. PC Computers have had their price significantly reduced since my first Pentium computer($1400 for a 266mhz, 64Mb Ram) to my current computer($250 Duo 2.0, 2gb ram + 512mb gfx card, from 2 years ago). These price drops however are not a move in competition, but due to economic and manufacture reasons.
The nature of consoles have been a solitary design. The Console sits alone as a single machine with different values of the customers. Maybe a price cut is in order due to reduced manufacturing costs, but maybe it's not due to that fact it is still the same machine. As mentioned above the Blue Ocean when kept on track will engulf the Red Ocean. Much like when Sony changed the industry and Nintendo before it. It's about the right time now. A cut in price will only slow down the maturity of the industry.
Squilliam: On Vgcharts its a commonly accepted practice to twist the bounds of plausibility in order to support your argument or agenda so I think its pretty cool that this gives me the precedent to say whatever I damn well please.
