In lieu of a price cut on Microsoft's part so soon, Pachter feels that the company may instead introduce "a more feature-packed Xbox 360 in early 2010 (likely with a 250GB hard drive) at the same $299 price point." The great seer believes that Microsoft will only drop the price on its console before summer "if it begins to lose significant market share to Sony," adding that he anticipates last fall's price cut on PS3 will continue to help Sony gain ground on Microsoft.
On the portable front, Pachter doesn't expect PSP Go (remember that?) to make much headway this year unless Sony prices it "more reasonably," and says that the biggest challenge facing Nintendo DS is "its own high installed base," stating that he anticipates sales of the handheld to steadily decline in 2010. Good thing Nintendo's started talking about a "DS2," huh?