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The PS2 and XBox launched at $450 in Canada, currently the PS3 is $400 and the XBox 360 is (essentially) $300; they're both getting destroyed by the Wii ...

In other words, it is foolish to assume that the PS3's only (or even main) problem is its price. The fact is that the PS3 is currently in a price range (worldwide) that people are comfortable paying for electronics that they truely desire, and will justify the cost if it really apeals to them; the PS3 really does not appeal to people on the same level as the PS2 did when it was released.