In terms of Sony profitability with PS3, You guys are thinking about the top line too much.
If they can make the cost of PS3 < $300 in the next 4-5 months, they'll make a killing even if they make a 200$ price drop. Cell and BR are the largest parts of the cost. If they then sell it at $300 in the next 4-5 months, I can see it encroaching on the Wii, especially if they have a high profile game released.
However, I'm not optimistic about that happening







