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$1 (US) is roughly 120 yen

Over the next 12 months Sony Gaming's biggest money maker (the PS2) will continue to see declining sales while neither the PSP nor PS3 increase in sales enough to compensate; the result of this will be that similar operating expenses will result in greater operating losses for the division.

Now, it is possible that the PS3 will see a price reduction but I wouldn't expect much more than $50 or $100 ... A $100 price reduction could (potentially) put Sony as a whole into the red, and a $200 price reduction certainly would produce large losses which would upset investors.