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Heres what will probably happen: By the time the PS3 costs $300, in 2010, the XBOX 720 will come out (Microsoft likes a 4-year cycle) and the new XBOX will cost $400. It took the PS2 SIX YEARS to drop by $170.... It will take the PS3 four years to drop by $300, because they aren't selling alot of consoles. They might still be losing money with each console by then also.