An interesting side note here... Sony is most certainly still losing money on the PS3 regardless of the SKU. Why is this? Because it is the same price as the current cheapest Blu-Ray drives and they are reportedly at best break even or losing money on those. If that is indeed the case, they still have to factor in the Cell, memory, controller, and so on in the PS3 when considering the total cost.
Regardless, this leaves Sony fighting on two fronts: The PS3 (a trojan-horse Blu-ray player) and Blu-Ray standalone. I don't think Sony is going to get into a price war on both fronts meaning I doubt we see a $299 or less Blu-Ray player any time soon.
If Toshiba decided to bet it all, right here, right now, they would take Sony-sized losses on the A3 and move em out cheap enough to sell multi-millions over the holidays. There is no doubt that Sony will be moving 2-3 million PS3 systems globally over the holidays. HD-DVD has to accomplish the same and they aren't going to do it with $200 players as J6P won't spend that kind of coin just to get a player...








