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Price isn't why the Xbox360 is loosing.
The PS3 is more expensive AND sells more.

A price drop not countered would have little effect, a price drop of the Xbox360 matched by a PS3 price cut would probably end up helping the PS3 more than the Xbox360 ( because we would be back to original situation but the PS3 would be cheaper).



PS3-Xbox360 gap : 1.5 millions and going up in PS3 favor !

PS3-Wii gap : 20 millions and going down !