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I thought Microsoft would do a Christmas cut but it seems to not be materializing. So, now I don't think they will do one until next fall. But it will put them to the $199 mass market price point for the premium just in time for Banjo 3, Gears 2, and Fable 2.

It seems like Microsoft is being careful about price cuts so that they don't de-value the product. Sony, is not doing themselves favors by price cutting and changing SKUs so much. Nintendo won't cut price until demand slows. When the Wii does price cut that will be the end of the PS2 because the cut will probably be significant.