Inflation does not equate to buying power.
I know many people (myself included) who took major cuts in 2008-2009 era when the economy was really bad. For many people they have still yet to recover to 2007 levels. If your target demographic is that group of people (generally middle class or working class, people making between 20-80K) and they have less buying power now than then the price will seem steep regardless of inflation.
My question is if $500 leaves them wiggle room to drop it within 12 months a good $50-$100 or if they will need to stick with that price point for a good 24 months.
Also, I guessed $449-$499 for both consoles, so while this is not unexpected for either or both I could see a tepid period after the launch bonanza ends due to price in 2014.
