well until you see the wii drop price and add a color to its system.......then back to the third place spot

Do you really think that $300 is low enough to lure in customers that are still on the fence. I mean the 360 launched with a $300 core unit 4 years ago, and has had a $300 or less console ever since.  In fact last year even though their "pro" console was priced at $300 for the last half of the year the Arcade model SKU priced at $200 was moving over 40 % of their volume.  I think dedicated Sony loyalists already own a PS3 and the casuals don't come on board until the hardware is on the lower side of $200.

Not to mention obviously MS is going to counter the price move, and I have reason to believe that Nintendo will be dropping the price of the Wii soon as well.

I think this christmas we will see

360 for $129 Arcade, $229 Pro Bundle, and $299 Elite Bundle <-- assuming they keep 3 SKU's

Wii for $199 (perhaps start shipping with WSR) <-- entice people who want more then one system

PS3 for $299  /  $399 <-- assuming they keep 2 SKU's 

Funny!  Very clever to change the spelling from third to 3rd to illustrate no real change.

And if Sony tries to match that then MS will include a free hooker and a bag of coke with the arcade! See?!? Sony will never catch up!

Any study or actual information to back this up?  I know many people who are still waiting to get a 360.

This is along the same lines as the reasoning that states that massive numbers of PS2 owners are just waiting to upgrade to the current generation of consoles, and that they will pick PS3 when they do.  Considering that there are 90m Wii, PS2, and 360 machines out there, I seriously doubt that the lion's share of PS2 owners are waiting to upgrade.

Your arguments sound more like wishful thinking than real analysis of the facts.

1) Intel was first to 45nm by a long ways. Penyrn was out at the begining of 2008. Last I heard 22nm was planned for 2011, but it remains to be seen if they are going to be able to do that without going backrupt. Fixed investment costs for new fabs went through the roof with 45nm and at some point the manufacturers left are going to have to rest just to recoup the costs.

2) The orginal 360 is probably about the size of what the ps3 slim will be.

LMFAO pretty soon we're going to see 360's and PS3's in the Dollar Store Bundled with credit cards and every game that they offer.

September 2009 introduction of a $299 PS3 Slim = 13 million PS3 sold in 2009 (and it will beat the Wii and win the Holidays in some regions).

The X360 will counter with a small price drop $50 so that X360 becomes $249 (and €199 in Europe) and Arcade drops to $179 (and €149 in Europe). The X360 will manage to sell 11 million in 2009.

The big thing is 2010 though. Unfortunately PS3 will crush the X360 in 2010.

For that to happen it has to sell like 8 million between September and December... last year it sold 4 million in that period. Are you really saying a $100 price cut and a slim model can double sales during a recession?

Nintendo already has make the biggest comeback in the history of video games !!! Don't you know ???