Gilgamesh said:
By the time PSP2 releases the PS3 will be selling consoles at $199 - $299. Hence why the PSP will be still under 3DS price of $300. I predict the PSP will be selling at $250 with a slight profit.
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Are you talking about:
1. Gross margins.
2. Operational margins.
For the first, thats a yes/no/depending kind of answer. For the second its a definitive NO! Try spending in the 100s of millions on marketing and the development of the PSP2 as well as incentives for developers to launch games on a new system and then break even on <20M units for the first two calendar years.
Edit: Change sign change side.