| eugene said: Microsoft has only had a minor $50 price cut in 2 years. Even with the 40 gig out now, they are only within $50 apart. They are letting Sony get some market share but not a significant amount to where they can do any damage with software sales and seeing as how they lose substantial money on every unit sold, it only hurts them more. Microsoft knows that they could do a death blow or at least significant damage if they followed with similar price cuts or at least bundle Halo 3 this holiday but their not. Why? Is this just conspiracy theory? I personally thing that Microsoft wants them to dump 5 billion + dollars in gamming like Sony made them do last generation. Eye for and eye kind of thing |
Microsoft can't deal any"deathblows" b/c of 3 reasons.
1. The gaming division had a really hard time turning any sort of profit since the original Xbox launched, would you rather make money or lose money when you're finally in position to?
2. Microsoft knows they cannot completely snuff out the PS3 that early. If they droped their price dramatically past the PS3, then Sony would be forced to cut their price to get as close as posible. That strategy is nothing more than jumping into a hole and grabing someone else with you.... which leadsme to reason number 3
3. Nintendo will only benefit as the only profitable company out of the three.... in other words, while MS and Sony lose insane amounts of money trying to kill each other for 2nd place, nintendo would just watch and laugh.
