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theprof00 said:
gergroy said:

yeah, but I think microsoft will just eat the cost of price cuts in the first few years.  This gen is slightly different in that all the hardware isn't starting out as loss leading, so there is room to just cut the price and lose a little.  I think new models that may cut some features be more of a mid gen thing.  We will see though...

Not that they can't afford it, but the problem with this is that it doesn't actually do all that much to strengthen the brand or create new revenue streams. It only takes bricks out of the jenga tower.


well, its not like they can't do the digital distribution with blu ray drive in it.  They can experiment with digital distribution and drm sharing schemes with the blu ray drive still in it.  Then, by the time they are ready to introduce a disc less model in a few years they could have their digital model down and consumers will be used to it.  They can strengthen the brand just fine without introducing new hardware.  Software upgrades have proven to be very effective for 360 for example.