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BlueFalcon said:
MS's key advantage is that even if PS4 is more powerful on the hardware (i.e., GPU/memory subsystem side), Sony will reveal their pricing scheme and SKU specs for Hard drives/any special bundle offerings. That would allow MS to price their consoles more favorably by undercutting PS4 should they need that. This is one downside of Sony unveiling the console earlier. At the same time, if PS4 has some awesome Cloud gaming features, powerful hardware, then the pressure is back on MS since all the hype will have shifted squarely on PS4 after its announcement. It's like Art of War ;)

How flexible do you think they could be with pricing at this stage? I wonder how close to launch you can change the system's price.