If Microsoft cut the price of the x360's in half it could be the end of the sony ps3 unless the follow. if Microsoft want to stick the knife into sony they can do it, it is not like they can not afford it, pluss if micrsoft did this it could prevent sony from competing in the next generation, which i swhat Microsoft probably want anyway.

 If Microsoft did this they will probably sell lots of x360 depending how many people want it. but if sony was to follow with the same price cuts then it would benefit sony more when it comes to sales, but they would not be able to afford it, on the other hand Microsoft can.

What are your thoughts, and how much do you think the x360 would sell if Microsoft did this 

Microsoft has been promising its shareholders that the gaming division would turn a profit for years. The absolute last thing they want to do is drop their prices so far that they go back into the red just when they're looking to deliver some profits. While gamers would rejoice, I have no doubt that Microsoft's shareholders would be absolutely livid.

This has been proven to not be so effective;case and point--The Others region.

This wont cripple Sony,but it will keep them afloat in NA,i guess.

believe it or not, the 360 quite cheaper than the ps3 especially in Others, i don't think the price cut kill sony as much taking big games previously Sony exclusives to their side.

Imagine ff13 announced for the 360, that would be a killer.

I think your exaggeration the effect on Sony, but the basic premise of your argument, that Microsoft can better afford a price cut than Sony, is correct.

Thats one reason I think Microsoft should cut earlier rather than later. IF they cut now, they get better sales now and take the chance Sony cant afford to cut this year, in which case MS gets AMAZING sales in the holidays. IF Sony CAN afford a cut later, Microsoft can put out a bundle deal and they are no worse off then if they'd cut later (better even because they'd have more sales in the interim).

I think at this point Microsft is hoping to take about 40% of Sony's marketshare this gen and breake even. Next gen they probably want to take 60% market share and turn a profit, and then after that crush Sony and break even (by this time gaming machines will have fully morphed into multimedia devices- even Nintendo's machine should have as much multimedia as the PS3 does now)... thats my guess at least.

There is a huge difference in the financial positions of both Microsoft and Sony. MS by far has a lot more finances that it can do whatever it takes to dominate any market it choses. Sony can not afford to take such heavy losses, by heavily reducing PS3. Losses on PS3 in 18 months has already erased the profits Sony made on PS2.

Microsoft has lost its window of opportunity. A very strong price cut at the beginning of the last holiday season -- arcade to the same cost of the Wii, premium at $299 with a pack-in or three would have seriously hurt PS3 holiday sales and perhaps left the PS3 reeling so hard that it would have never reached a point of serious contention for first place. HD-DVD was still in the game and blu-ray was an unknown. At that time, a strong price cut would most likely have had devastating effects. MS opted to make a token cut and rely on bundles instead. It is too late, now, in my opinion as the PS3 has enough solid games to survive regardless of what MS does. MS made this choice, of course, because their gaming division has lost so much money and they want to return to profitability at some point.

At this point, cutting the price to a point of losing money would just be stupid. It won't make nearly the same impact it would have last holiday and MS would be losing money and not slowing the PS3. MS may well sell a lot more consoles, but they can't stop the PS3 at this point... They would be better served to keep the cost reasonable and try to remain profitable so they can enter the next generation without losing billions more...

Sony still has a big hype machine going for the ps3 thanks to the brand name, cell specs and bluray...so people will still buy it no matter what it costs.

Microsoft also doesn't need to do price cuts to stay "afloat" in NA. If every xbox sold makes them 100 dollar profit and they sell 50K its better than to have them sell 100K a week and make no profit.

Price cuts = Sales? BRILLIANT!

I dont think a price cut is gonna do much anymore.... the only way fer M$ to hurt Sony now is to keep stealing there exclusives