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x360 simply doesn't need a price drop: the gap (vs ps3) at EU launch was 7,1 millions now, 8 months later, is 7,3...and this despite 200$ price drop of the PS3 vs 50$ of the x360 and counting EU launch (almost 700k in EU alone in the first two weeks).
Ms can wait for the big game (=GTA4) to make its move and drop another 50$ or so



2008 year end sales (made in January 2008):

44.2 M 27.1 M 20.8 M