Divnich says Sony's price cut "will close the sales gap between the PlayStation 3 and Xbox 360," but doesn't offer a clear "winner" this holiday season. While he says the PS3 is a "superior hardware product," he also draws attention to Xbox 360's "deeper software library and superior online services." Without a disparity in pricing, it should prove interesting to see what mainstream consumers choose this holiday: hardware or software?
Looking forward, Divnich notes that $299 is likely to remain the "new standard" price for the two consoles for the next year. One or both may drop down to $249, but he believes that's the lowest prices can go in the next two years. Instead of continued price drops, Divnich believes both Microsoft and Sony may pursue including Natal and the PlayStation Motion Controller as standard attachments in the future. Is it just us, or does the "console war" seem like it's only just beginning?