Breaking: Xbox 360 Price Cut incoming

[ckmlb]

misterd said:

NightStalker said:

How does Sony, which is likely now back to losing $200 per console, able to afford yet another cut, but not Microsoft?

MS only gets a larger install base for its games, while for Sony a PS3 sold means a larger install base both for Blu Ray movies and for games. I think they are willing to lose more money per console because they expect profits from both games and movies to make up for it.

 

Also, Sony's gaming division isn't coming off of losses from last gen and they still have the great profits from the PS2 sales and some profits from the PSP. They have a lot more profit coming their way in the games race than MS does.