Can MS or Sony afford to drop any more? Probably not, i could possibly see MS do it to get a bigger install base to sell more software and generate profit that way.
I cant see Sony doing it though. Dont forget that the PS3 is tied to the blu-ray market so if Sony starts slashing prices on the PS3 then it brings that entire market price down with it, which will mean a loss of potential revenue in that sector as more and more people will adopt the format, what with BR's recent victory at a higher price point, which Sony will be abandoning. Also Sony dont want to completely undercut the BR market, and have BR become the prime reason people are buying PS3's as they lose money on the console anyway and will struggle to recoup it from BR sales unlike software.
2
Can MS or Sony afford to drop any more? Probably not, i could possibly see MS do it to get a bigger install base to sell more software and generate profit that way.
I cant see Sony doing it though. Dont forget that the PS3 is tied to the blu-ray market so if Sony starts slashing prices on the PS3 then it brings that entire market price down with it, which will mean a loss of potential revenue in that sector as more and more people will adopt the format, what with BR's recent victory at a higher price point, which Sony will be abandoning. Also Sony dont want to completely undercut the BR market, and have BR become the prime reason people are buying PS3's as they lose money on the console anyway and will struggle to recoup it from BR sales unlike software.