Sony
As everyones attention was on the Electronic Entertainment Expo, the game industry's main trade show, which kicks off May 22 in Los Angeles, Sony jumped the gun and announced radical price cuts for the US prices of the PS2 and PS. As of Tuesday the PS2 costs US$199, down from US$299, while the PSX is now available for a mere US$49, down from US$99. Reductions in the prices of various accessory items and extra controllers were also announced, while software price cuts are also being considered.
Although Sony were expected to cut prices in September, they decided to demonstrate how serious they are about maintaining their current console market dominance. Officially Sony claim that they announced the price cuts at this time in order to prepare the market for the upcoming August high-season. It is however, obvious that Sony are turning up the heat on Microsoft whose sales have dropped off and who are already losing money from XBox sales even though their offering retails at US$299.
^^^ How is Xbox gonna make new games if they cant even make money off the system