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Anything could happen.

Well, probably not a Wii price drop. But other than that...

Microsoft has been ridiculously stingy with its price cuts so far, but that could be because they were holding back for a major initiative this year. I'd say another $50 drop is likely in 2008, and quite possibly more.

Sony is now down to the level I thought they would be at by the end of the year, and I really have no idea where they'll go from here. I can't imagine they can afford another drop anytime soon, but a move from Microsoft might force their hand. If they're doing a lot better sales-wise next year, though, it might not be necessary. It wouldn't surprise me to not see another price drop until 2009, but some better bundles are likely.