PS3 60GB >>> X360 Elite by a long shot.
Wi Fi, CArd Raders, Blue Ray >>>> Extra 60 GB HD space

You do realize that that comparison is meaningless, right? Besides, it's offtopic.

You know, somehow no one ever mentioned this but, we all remember that sony produced more 60 gb PS3 models than the 20 gb. Eventually people decided to buy the pricier model instead of the cheaper one. Do you think that hisotry might repeat itself this time? That Sony will limit the 60 gb ps3 model production forcing people to buy the expensive one? It would be the scam of the decade if it were to happen.

And you have proof of this how?  Are you Jack Tretton? Do you work for SCEA?  Oh wait, you aren't him, and you don't work for him, so this is just more fanboyism negativity thrown at the PS3.  I don't see sony going off and stopping production on the 60gb version and have heard nothing that would suggest what you write as fact. 

Apparently you have a huge hatred for Sony and are just doing your best to toss more negativity.  Are you one of those people who truly want to see Sony drop out of making consoles? If you are, you are thinking the wrong way, the more platforms available the better it is for ALL gamers. 

Technically it's not a price cut but it is a much better value for your dollar.

Well both sides are right in a way. The 60GB PS3 did receive a price drop of $100. The PS3 itself, did not receive a price drop but because you still have to have at least $500 plus tax to purchase a PS3.

I think the one thing everyone is missing out on this price drop situation is the amount of money Sony is going to lose on this. All those warehoused and unpurchased PS3s were manufactured at the higher production cost. Thats approximately 2 million PS3's that were manufactured at $840 production cost but will now be sold for $499. Retailers bought those PS3's from Sony for around $580 that means Sony is going to have to give back about $100 per each unsold PS3 that retailers have taken a delivery on. That refund cost would surpass MS's three year 360 RRoD warranty cost.

To all of those denying it's a price cut, it is a price cut. The same exact system a week ago cost you $599.99, this week it's $499.99. Sony had discontinued the 20gb stripped down version months ago and has not been a player in PS3 sales for a while now.

So while at launch there were model's available for $499 and $599, but for the past several months there had been only one option, $599 for the 60 gb.

They reduced the price of the 60GB PS3, but the PS3 still can't be had for less than $499, so its not a real price cut. The value to the customer is increased but the cost to get your hands on the PS3 platform has remained the same. A true price drop lowers the amount of money you need to purchase something. Spending $500 on a PS3 now gets your more for your money but just like when the system launched you still need $500 to purchase a PS3.

If MS canned the Core 360 tomorrow and dropped the price of the Premium unit to S299.99 it would be a price cut only on the Premium unit. The 360 lineup would still have a starting MSRP of $299.99. The value to the consumer would be increased but it is not a real price drop because the consumer still needs the same amount of money to purchase a 360 console as they did prior to the "price drop."

So Sony is tricking everyone with a temporary price drop, tsk, tsk, tsk

Sony continues to shoot itself in the foot 

If you look at only the 60GB model, then yes, it does look like a price cut. I'm looking at the overall affordability of the console... it hasn't changed AT ALL. The lowest price for a new PS3 is the same as it was before the so-called price cut. I'm not disputing that they have increased the overall value, just that they have not really given an overall price cut for the product.

Many consumers might have actually concidered a PS3 for $400, but it still costs $500. My point is that I'm tired of Sony's deceptive tactics. As a consumer, I've had enough of their constant BS. I think the PS3 is an incredible piece of hardware, but I'm not very happy with Sony's management of the situation AT ALL. They've been notorious for making deceptive statements in the past. This is just another example.