There will be no price cut on Vita this year due to the fact that Sony must push the PS3 vs the launch of the Wii U. We'll see a price cut on the PS3, and perhaps even a slimmer model (though unlikely). Sony can't force people to choose between either a Vita or PS3 this holiday, so they can only push one. Nintendo has forced them into this position, which means that the Vita won't see a price cut until sometime next year.
The only way I'm off is if Sony plans to bundle the PS3 and Vita together in order to either match, or come close to, the price of the Wii U (after Nintendo announces). I just don't see how they could cut the price of that bundle down so far as to be competitive.
And no, the Vita won't die.








