mrstickball on 15 June 2007
Ultimately, Sony is making the right decision by knowing they've got to lower the price, even if it kills PS3 profitability for another 1-2 years.
IMO, Sony's going to take a loss in the entertainment division this generation, something that hasn't ever happened for them.
A $100 price drop sounds just about right - by Christmas, the wholesale price of goods should be around 575~600 for a PS3, and dropping it to $500 won't kill Sony, but should make it a far more viable option against the 360.
However, MS just needs to drop the X360 by the same ammount ($100), sooner, and Sony will lose a bit (but not all) of their price drop advantage.
Back from the dead, I'm afraid.
