Hmm, its a case of profit through hardware sales vs profit through software sales. I don't think 3rd party support will be an issue seeing as 720/ps4 are looking to be even closer in architecture then the 360/ps3.
Having said that, prices continue to increase. The most powerful system of the 6th gen was xbox at 299, but it was sold at a large loss. Assuming its actual cost was 349-399. It means the most expensive system of the 6th was cheaper to produce then the cheapest system of this gen, which is the wii U being sold at a loss at $349. Naturally part of this is inflation. The point I'm trying make is that we'd be extremely lucky to get a system at $399.







