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As MS said, this is not a sprint, this is a marathon... so we will see what Sony's next move is... Usually a price drop is responded with by a price drop, whoever does it first...

And yeah, so far Sony had reasons to think that no matter what, people just wanted PS4s and they did not want XB1... in a sense the current pricing/agressive bundling makes the whole console power discussion a bit more complicated, yes the XB1 is a compromise in therms of performance, but it also cost you less up front and depending on the bundle you get you can get a few games with it RIGHT away.

Plus they have MCC releasing this month, my guess is that MCC combined with the price drop you get many people who may not have bothered with only one or the other to jump in.

But hey after what Destiny did, all the good press MS got over the last couple of months, etc. and the sales were still better on PS4, even I was thinking they were un beatable... The thing is, many people are on the fence, so a significant price difference can sway a lot of people, and the timing is great too because this is the holiday shopping season, so the effects are much bigger than in the summer months!