We might see a $50 cut off the 500GB SKU for inventory clearing prior to the 1TB SKU, which will remain at $399.
I see solid bundles happening with the 1TB SKU for the holidays rather than a bare bones 500GB SKU at a permanent $349.
SCE will likely hold off on permanent price drops until the release of a full redesign SKU (ps4 "slim") with a significantly lowered BoM to maintain profit margins.
There's no reason for SCE to give away discounts seeing as how they have no real competition currently.
They will monitor consumer responses to XBO price cuts and likely have plans for an appropriate response if needed (price cut).
MS realizes SCE can respond to any major price cuts with cuts of their own, so unless the strategy is to see who can lose the most money off their products to maintain current market share, it's not difficult to see why this is a strategy neither company would prefer to use.
MS will only resort to product dumping if the Xbox brand is in jeopardy of being scrubbed and I don't see that happening.







