Seece said:
Well to start, MS have to cut price to be first, so everything I say is on that assumption.
I'm fed up of going over this though, it's absurd to think you think you have a better grasp on the situation than Microsoft themselves. If they had said this in passing in an interview it could be just PR babble, but no, they've said it, over and over and over and over again, in their E3 conferemce, in numerous interviews, in every NPD statement since June. They would never bang on about it that much without actually have a fuck loads more knowledge than we'll ever have.
I don't know what they have planned, but a price cut, advertising and holiday is more than enough to put them ahead for the holiday and the year. Kinect is going to be big again whether you like to admit it or not. Forget it's 'decline', this is a holiday product, and when the SW comes, and the bundle drops price, and the advertising goes crazy, the casuals will flock.
Time will tell.
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Just because they say it will happen doesn't mean it actually will. Nintendo still thought they could sell 26 million Wii's back in 2009 as late as August.