The PS3 will win hardware sales ltd worldwide if this keeps up but there's no way MS isn't going to respond to the challenge posed by Sony. I must point out that it's a myth that the PS3 was ever more expensive than the 360 (unless you don't play multiplayer or don't have live in your country) since you gotta pay for live. So price wasn't an issue. The issue lied with 1) PS3 being hard to develop for (making 360 more popular with third-parties), 2) MS having a year head start and 3) Huge marketing campaign by MS to promote Halo, Gears of War and the Xbox brand.

However now that PS3 is at $300, it's even cheaper still than it was to begin with. It's not that PS3 was too expensive, it was actually cheaper. But now the PS3 is so cheap that MS can't hold on to their worldwide lead any longer (though they will hold Americas. The Xbox brand is too strong there and they have almost double the install base. Too much of a gap to catch up to considering that Post-ODST, PS3 is still only hovering over 360 week-to-week.) And because of this, I think MS will react. Or else they're just going to let the Playstation brand take over in Europe/Others (the swing region). They already experimented with the $50 rebate for 360s (in US only) so don't be surprised if they start cutting again sooner rather than later. Replacing the $300 Pro with a $300 Elite isn't as significant as the PS3 price cut ($400 80 GB PS3 to $300 120 GB slim). So they should be cutting the Elite further. They should also lower the price of the Arcade and at the very least slot in a 20 gig with the sku (memory cards are practically useless for online and the lack of hd installs increases chance of disc scratching). Whatever Microsoft loses in hardware, they can make it up in software sales. Besides it's Sony that's selling their console at a greater loss right now since Blu-Ray is cheaper than DL DVD players so MS should be selling it at a lower price. They also have much more financial security than Sony at this point so they can take the short-term loss for the long-term gain. If MS doesn't react, they'll drop the ball with Europe/Others and have to hope that Natal is a great success.

MAG- Who knows how it will sell. Kinda doubt there will be a sequal this gen though... I think they'll just keep this one updated.

I doubt Demon's Souls will ever see 1 million... It's too niche.

I'm also sorta doubting that R&C can do 2 million... but it's not a long shot.

It will take some work to get inFamous to above 2 million. Who knows about the sequal.

For the most part, I agree though.

On a totally side note, you jacked my name :(

:)

from here on out.

In terms of sheer numbers, yes I definitely agree that the PS3 is at a peak, especially since we are getting into the holidays....it's all downhill from here, and during XMAS 2010, the pricecut will have been a year old.

Or were you talking about the PS3's market strength relative to the others? I think that this on the other hand will increase as the wii has been declining up until the price cut, the 360 has been out for a while now as well, its price cut didn't do a whole lot for it so it might take more effort or moneyhatting for the 360 to suceed than it would take for the PS3 though I know that all 3 do this.

You agree with whom?  Anyone who thinks 09 is PS3's peak year is deluding themselves.  How can it be downhill from here when all the days of selling PS3 at $299 and below are ahead, when to this point we've seen it selling at $400-$600 most of the time, with only a few weeks of $299?

By winter 2010 Sony should be able to drop the price to $249 with the RSX at 45nm, Cell at 45nm or below, and various other refinements including to the blu-ray drive.

PS3 will sell more units each in 2010 and 2011 than it does in 09.

edit: PS3 IS just coming into its peak...which will last several years, is the point.

1. I agree with the original poster who said that 2009 was at the peak, or at least I did a quick scan of his post which seemed to say thus.

2. Decreasing the price by $50 will help, but it will be a 1/6 cut versus the 1/4 cut (from $400 to $300) that we have today, so even if you are correct about the amount and general timing of the cut, I don't think that it will have as big of an impact, especially considering that part of the reason for the surge in PS3 HW sales has came from a new and smaller model being put out.

3. Also, I agree with you, kinda, because while I think that the PS3 will decrease, that it will decline at a SLOWER RATE than the other two, simply because it isn't as old as the 360, that Sony has some great projects coming out (like the PSPgo which will be a high margin product b/c of its DIGITAL software), won't be wasting money on something like NATAL, and was made to have more lasting power unlike the wii, which has been wanting for AAA games lately but the AAA PS3 games are just getting started now that the PS3 has a stronger market.

After a few years, all consoles will decline as they get outdated, most will decline after about 4 years, which we are getting pretty close to with the PS3.

So the PS3 is reaching its peak just b/c you say so?? I shouldnt have to ask you for your reasoning as to why this is, but I will. Why will the PS3 be reaching its peak in 2010?

Well first off I have some problems with your list. Resistance 3 has no guarantee it will make 2 million, Resistance 2 isn't even at 1 million yet. Infamous 2 is also no guarantee to either be made, let alone sell 2 million. MAG isn't even out yet I don't know how its a guaranteed 2 million seller. Demons soul 2...doubt it will even sell 1 million. ICO didn't even make 1 million so I don't know how its that established.

Okay so besides that weak list I agree with the rest. PS3 now has a reasonable price, good marketing, Blu-ray (obviously), will soon have motion controls which may appeal to some (not me though). I guess you could say its going into its prime. Its getting some of its best games in Q4 2009 and Q1 2010 also. I could see it averaging 200,000 -220,000 per week, maybe not 260,000.

PS3 isn't most systems

Seriously though what other system has been $600 and sold 25 million units. None. Any other system this expensive (3DO, Neo Geo) have failed miserably, granted they didn't have the playstation brand name. But still.