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Obviously this is dumb and will never happen, but it's a funny hypothetical to think about.

This could obviously be for any system, but I'm choosing the PS3 as my example here because it is the most expensive console and is the most "feature rich." (not being a fan boy here, but not too many can disagree with this, though, knowing this site, there will be a fanboy war within 5 posts).

What do you think would happen if Sony went crazy and (somehow) their production cost of the PS3 allowed them to price the PS3 at $150 and have the same losses per console as they do now.

 

EDIT:  I changed the above hypothetical a little bit because I am sick of the "Sony would be out of business" replies since those are obvious and not interesting.

 

Would it affect Wii sales at all?

Would the 360 and Wii follow suit even if that meant massive losses per console?

Would the sales drastically increase/flatline/have no affect?

Would the software that appears on the PS3 change and have more "shovelware" type games?

How much software would each PS3 owner have to purchase to make back all of the lost money from the hardware losses (if the sales increased dramatically that is)?

 

Forgot to mention in this hypothetical, assume all other things are constant i.e. MS and Nintendo have the same production costs for their consoles as they do now.