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Nothing really.

They'll get more sales as would be expected by product elasticity...(sp?)

However it won't effect the Wii.

As the Wii will have already cleared out the $285 or under crowd that wants to buy any videogame system.

That's the importance of coming out at a comprable price to your competitors.  While your up top making some money (or in Sony's case losing it.) on the high end market... the other systems are clearing out the basement.

So when winter comes you look in the pantry and you find yourself stuck with nothing but an old can of beans.