Why would it drop though, isn't it a year away and there's still very little we know about it?

PS3 is doing amazingly well. A slimmer, more efficient console along with amazing new first party exclusive software and a slimmed down price are what Sony needed. They're obliterating the competition now, selling nearly 1.5x as much.

The DS will drop this week. It won't see an increase.

You still didn't answer why, your just saying it will with no reason at all?

Because now there's news of the successor being announced.

It will lower every aspect of the DS Lite/DSi/DSi XL.
Retail is going to want the 3DS to be a big seller, so on the retail level they are going to inform customers about it.
Plus the media is going to be all over to it. So word is going to spread fast. The XL launched the week of the announcement. Not really enough time to inform customers.

Your talking like the 3DS is a month away? It's only going to be releasing in the Spring of 2011.

People are not going to wait a year to buy a new console they'll just buy a DS and play it till the 3DS comes out, now if it was a month then most people would be able to wait for the new console and they'd avoid buying the DS.

And retailers are not going to be advertising 3DS when it's a long way away.

DS will start dropping next week.

Agree. The only thing I could see against DS is word of mouth, people telling friends "pssst, mate, don't buy a DS now, just wait a little bit more for 3DS". Sooner or later, though, market saturation will eventually approach, but at this rate DS could keep on selling more than 200k/week for years. IMVHO 200M lifetime is not out of reach for DS, unless Nintendo choose to kill it prematurely.