This is very much an act of intimidation. They want Sony to double guess themselves and be fooled into thinking that 'if we drop the price, it won't serve us any purpose as MS will follow suit, which means we won't gain market share and we'll never take a profit.' Which is exactly what the guys at Sony will be worried about after reading this.

If they're scared out of a price drop then Microsoft will have the dominant marketshare but at least Sony can make some money off console sales, and if they do end up dropping the price MS is prepared to take losses again if needs be to crush their chances of gaining momentum. This is very cunning.

Fumanchu

I dont think sony is thinking like that, but its possible I guess

@Fumanchu

I think Sony is smart enough to know what they should be doing. Especially since they dug themselves a financial hole. They have analysts that know what their doing and are helping Sony through this crisis, I can assure you of that.

^ I have no doubt that they do. I'm just commenting on this statements' intent. Whether Sony takes the bait or not is another issue.

No way they drop the Arcade price. If they do, it will be like $20 tops. I think they have some flex on the higher models though, and those could see a $50 price drop.

Aj_habfan

Microsoft can drop the price but not now by the end of the year like they did last year, by september, october the prices will be.

arcade 149
pro 249
elite 349

That kind of makes sense, but I have hard time believing that the Xbox360 will be $10 more then a PS2.

I am amused....again...

You are spamming....again...

Instead of dropping the price, I think Sony will put the 160GB SKU in the market at the same price as the 80GB and discontinue the 80.
Also, I think they could now afford to put back PS2 BC into the systems by chip or software (or both) seeing as how the PS2 software and hardware sales seem to be waning.
Then they could cut the manufacturing of PS2 down to zero and discontinue it; after 9 years I don't think anyone would mind and it would save Sony manufacturing costs.
Making just one PS3 off the lines would be a lot cheaper than rolling out two seperate ones and might even offset some of the hurt they'd take initally due to the larger hard drive, but they won't be losing much more cash per console than they are already by doing this.
And they'd stay true to their word - no pricecut, just added value.
MS might start to worry a bit then.