How much of an effect will the forthcoming price cut have on PS3 sales??

[freedquaker]

ChichiriMuyo has a point on reducing the cost after mass production and technological improvements (I am myself a macroeconomics major), but PS3 couldnt sell enough sales to enough push the costs down.

I believe the price discount can be more than leveraged by the technological improvements (especially regarding Bluray), but given the fact that Sony was losing a huge amount of money wiped out any chance of not incuring losses in a near future, so PS3 probably will never be profitable in terms of console unit sold.

I reckon the cost was about $850 and it is probably down to $700 nowadays, and a $100 discount put Sony back to its original situation. Please guys, dont tell me that this high cost was a just a speculation. Which bloody company would go with such a high pricing strategy that would make their beloved consoles sell so poorly unless the costs are very high. Sony executives kept denying a future price drop untill the very last minute cos it was a hard decision to make due to ongoing high costs/losses.