The PS3 could very well have turned the corner (in Europe anyway).

[davygee]

HappySqurriel said:

The Price cut and holiday season gave the PS3 a really nice boost in "The Other" region, even though it was already selling adequately there in the first place. Without any further price reductions, the PS3 will average between 55,000 and 75,000 units per week in "The Other" region(with occasional boosts beyond that level for big game releases).

At the same time, the XBox 360 will (likely) get the equilivalent of a $100 price reduction in "The Other" region and will also see a boost in sales.

I agree and can see the 360 getting a price reduction right before GTA4 comes out.  Although I honestly feel that Sony can do the same as well.

The only negative for MS is that currently they are selling a significant amount less units compared to the more expensive PS3, so what kind of price cut will they introduce?  The Core and Arcade consoles are a waste of time basically, so it's between the Premium and Elite which sell for £250 & £280.  You can pick up a 40Gb PS3 for £280 in the UK so the PS3 is competing with the Elite straight off.

To make a dent, I believe that MS will have to reduce the Premium to £199 and include a few games as well to compete properly.  Maybe a £199 Premium with GTA4 would be the way to go....but a £50 price drop as well as a free completely new game????  Can they afford it?