How will Sony respond if the Xbox 360 sees an $100 price cut this summer?

[|_emmiwinks]

mrstickball said:

Gazz said:
The effects of a pricedrop in Europe were minimal. In fact, the 360 recently got outsold by the PS3. Also, MS may have enough money, but its shareholders will not agree on losing more money on the 360 after all the losses so far.

 

 Haven't bothered looking at numbers, have you?

X360 before price cut: ~27,500 units/week

X360 after price cut: 50,000 units/week (at the lowest average)

So I fail to see how almost 100% better is "minimal"

At any rate, an aggressive, Euro-style price drop on the 360 would have the same effects in the US: anywhere from a 75-100% increase on a weekly basis for quite some time. Sony really isn't in a position to react. I guess the biggest question would be if the price drop actually would hurt the PS3 at all (in Europes case, the 360 has sold much better, but the PS3 has been uneffected by the 360's pricedrop). If it did not hurt PS3 sales...No big deal. If it did...Sony would have to consider dropping the price, and hurl themselves further into the red.

 

lol, you act like MS doing this wouldnt be "hurling themselves further into the red" they still arent making a profit per machine, so dropping it 100 dollars would make selling 360s bad for them again. Since the PS3 was almost breaking even on each unit in Q1 this year, Im going to assume its past that point now, it would hurt MS alot more then Sony.