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Yes they will drop the price... but not to beat the Xbox One. As the manufacturing costs fall, they will lower the price to expand their base. Like Microsoft, their long term goal is to ship as many units as possible while maintaining a profit to build a base to sell services like their TV service, PlayStation Now, and PS Plus. Of course, they would also like to maintain their lead in the US, but quite frankly, they are so far ahead, they are going to go at their own pace, not Microsoft's.