Is the market ready for a $500 console yet?

[Alby_da_Wolf]

haxxiy said:

Alby_da_Wolf said:
$400 is the right price at launch for the entry level version. If that model is offered, and it will do the majority of sales, nothing wrong about offering a premium model too at $500 or even more. But a $500 version alone wouldn't sell enough.

AFAIK both the X360's and the PS3's more expensive models sold better than their cheaper counterparts, though.

XB360 premium launch version was actually priced $400, while the core version, while cheaper, was too poorly equipped, anybody wanting to add a HDD, necessary for downloaded games and proprietary, so a lot more expensive than standard HDD, would have ended up spending more than buyin a premium.
PS3 "cheap" model wasn't cheap at all at $500, so people preferred the better equipped one, but sales for PS3 really took off when the revised model, decently equipped and at $400, was launched.
$400 is good, but while nobody will ask for a princely equipment at that price, most will ask at least for a decent one.