Both. I honestly feel that Sony's competitors are really just not showing up to the game in any serious capacity this gen. 500$ is MS committing PS3 like arrogance. The number of Wii U games released from Nintendo isn't pretty.
I will give Sony credit for 3 things though:
1. They are doing well by not funding so many B & A sized projects just to have them fail as they have in the past. As costs for B titles rise in the long run that will pay off when they capture and polish some indie studios worth a damn.
2. Making it easier to program for was a nice gesture. I am of the belief that most inflated costs of development has to do with too much management and mismanagement so I doubt that much money will be saved.
3. They did manage to communicate very well that they aren't the anti consumer company this time around but those are about the only things I can give them credit for.
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