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I don't think we'll see price increases, per se, but you could be likely to see other things:

- cost reduction in the consoles
- fewer bundles
- first party titles take longer to reduce in price (as to help subsidize losses in hardware)

The onus on this problem isn't really just on Japan, it's also due to the fact that the dollar, and European currencies are plummeting.

If you compare a much more stable European currency, such as the Swiss Franc (which is the last decent currency in Europe), you'll see that the Yen has only gone up 1.2% since January 1st 2008. Compared to the dollar, the Yen has gone up 31%. Budget deficits lead to inflation. Surprize, surprize.