I dont think anyone is surprised by this news, I mean the price is just too high especially at the moment with the recession which has come a the worst possible time for Sony, I can only hope the rumoured price cut is true.

The online price cut for the PS3 is all well and good, but their stubborness to price their console realistically is really hurting them... Especially in the currunt economic climate as M said.

To be fair people were expecting in retail that the industry would be in a state of emergency and suffer this year but as per usual things seem to be pretty buoyant this year once again as per usual like every year. Congrats to Microsoft who have continued to be on the ball and are now being rewarded as the headline shows over there main rival

yeah all good, games seems to be a sector that always sells regardless,the 360s are selling well with the lego indiana jones and Kung fu panda for free !
we also have great bundles on p3 now thanks to centresofts support, COD5,and a choice of resistance 2,LBP,Motorstorm 2 for £320 retail or PS3 Dark knight blu ray and blu ray remote for £299.99 retail

(Henry Ford 4) why do you say we? Do you work for Sony or something? reality is according to the article that the Xbox360 has sold at a ratio of 3-1 over the PS3 yet for some reason you still find time to talk about the PS3's great new prices and bundles on offer why? We all know there is a big enough market place for the Wii, PS3 and Xbox360 - should we not be happy for retail during these difficult times and at least give credit where credit is due?

the xbox is very good despite i have to continuosly have to buy batteries for the controller! let me tell you this i know something you might not know is that the battery level read out is fake so if your batteries keep going flat its probably the controller has a urge for new batteries somehow!

when i say we, i mean the shops i work for, sorry i mentioned ps3, didnt mean to cause offence here, truth be told we (retail shop) are selling 25 wiis a week,wonder what the ratio of wii to 360 is ? im just happy all consoles are selling and there are great deals on all consoles,

....but, with a significant increase in installed base, lower console RRPs, bigger s'ware discounts we should be seeing a bigger increase over 2007, but when you read Game are only marginally ahead on like-for-like sales, it suggests a downturn has not yet been avoided.

However, I am happy not to be working in investment or car companies right now...

@7

Yes that would be interesting, and so would be the ratio for Wii's to PS3's. Your not really making a valid point to be honest.

Back to topic, Microsoft got it spot on this year with the Price cuts etc. There was a chance they would slack badly and lose alot of the ground they had on Sony, But with the recent price cuts they have put themselves in a great position globally, especially with the economy in it's current state.

However 2009 is a different year, will this be the year that Sony finally get an upper hand on Microsoft? or will Microsoft keep the momentum, personally I think that depends on a couple of key factors:

1. PS3 price cuts? When? How much?
2. Economy? Better or Worse?

If the current state of the economy doesn't change or for arguements sake gets worse, people are far less likely to go out and buy luxuries, and vice versa if it improves.
If Sony cut the price on the PS3 to £250 by easter, then they have every chance of gaining on Microsoft.