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I see some people brining up price point, and while I think a price cut would help slightly it wouldn't do that much. Main reason is these semiconductor shortages probably prevent Sony to make that many PS4s to begin with since they would rather use them for PS5s. Another reason I see is Sony wants to go the Nintendo route and try to make as much money on their hardware as possible.
Side Note: The fact the Switch is almost 4.5 years old and hasn't received a price cut or a holiday sale shocks me. It might pass the PS4 before a price cut happens. Sony probably wants to match that Nintendo hardware profit.