Wait, $150 isn't mass market? How exactly did the Wii sell so many at that price and higher than?

Nah, Sony has 2nd and it's most likely going to stay that way. At this point, it doesn't seem like a price cut will do much for the 360. It was still down YOY for Black Friday week, even with the $149 360 bundles retailers were offering and MS lowering all other SKUs by $50. The PS3, on the other hand, was up YOY with retailers offering a $199 bundle.

Its worth pointing ou that PS3 hs had 2 price cutsin 4 years. 360 ha had 0 price cuts in 4 years. 

A price cut after 4 yearsi think will rise 360 sales significantly. specially with a new revised model that is half  the size of 360s as rumoured.

I don't think ps3 will lose the lead but it's definitely a sign that ms wants 360 to sell further, it will increase the sales and will hopefully shut hater's mouths who said that 360-support will drop like the first xbox.

99$ seems ridiculous considering MS is a business and very low profit margin with 99$. Comparing that with 199$ and 249$ with kinect. They probably make 100$+ on each. With 99$ it would be impossible to make 100$+.

If PS3 and 360 both get hefty price cuts later this year will Wii U be forced to do the same?

I personally think it will get a cut regardless when Pikmin 3 and Super Luigi U(retail version) release.

If Sony announces a price cut no way is the 360 gonna outsell it, especially with big exclusives coming like The last of us and GT6 including other exclusives like Beyond. The 360 well... has nothing to look forward to in the exclusive department.

??? So what? $ony sold the ps2 also for $99, they also didn't make $100 with each sold console. It is about selling the brand especially.

The ps2 sold years without any important releases...

That and a lot of the people in the US who wanted a 360 would already have one. The price cut would effect Europe and other regions the most in terms of sales percentage.

Not Japan.