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Lets put it in perspective. If it launches at $600 in AUSTRALIA, it is still cheaper than PS3 Launch here of $1000. A damn ipad2 here is about $600-$800 depending on model.

Considering a lot of people are willing to spend that money on ipads here, then I do not see much of an issue selling for so high till launch of ps4/720.

I reckon launch price in the USA will be $350-$450 with a core game.