A relatively easy prediction, yes, but Ars' source lays out how it might go down, with the PS3 80GB model becoming more and more scarce. The constant bundling that Sony is doing at U.S. retail outlets will make sure that decrease in supply comes to fruition, about 2 months from now according to the Mole.

But the Xbox 360 retail offerings will also be changing, for the better value. According to the rumored price drop scenario, the Pro version of the Xbox 360 will phased out in favor of making the Elite the standard. Ars hints that another bundle configuration will hit before the holidays to replace the Elite, but doesn't offer specifics.

Does it all sound possible? Definitely. Will we get that PS3 "Slim" and a slightly modified rebrand? That sounds possible too.

Mole exclusive: PS3, 360 price drops coming this fall [Ars Technica]

Now might be the time to pick up that game you've been holding off on getting. We've mentioned Sunday's Target sale, but there are plenty of other sales going on now today too. Pictured above is KB Toys which is going out of business.

So get out there and get to spending, and more importantly report any great deals, bankruptcy sales or holidays price cuts here for your fellow gamers.

Don't forget, though, just because it's on sale doesn't mean it's worth buying.

* Arcade (no hard drive) to $199
* Pro (60GB) to $299
* Elite (120GB) to $399

This would of course bring the 60GB system down to the same price as the 20GB it is replacing, pissing off everyone who purchased a 20GB system in the interim. Yep, sounds like Microsoft!

Mole attack: 360 price cuts on all hardware in September [Ars Technica]

"History shows that €199/£159 is the price point where a console's audience begins to expand, and with these new ERPs in place we're ready to bring more consumers into the Xbox 360 world."

Everyone's Invited to Experience Xbox 360 as Microsoft Lowers Estimated Retail Price in Europe

With Estimated Retail Price Starting At €199.99/£159.99, Even More European Consumers Can Enjoy The Definitive High-Definition Gaming and Entertainment Experience

LONDON - Monday 10th March, 2008- Microsoft today announced it is lowering the estimated retail price (ERP) for its Xbox 360™ family of consoles in Europe. Now with an entry-level ERP of €199.99/£159.99, Xbox 360 is a mass market entertainment proposition with something to offer for every interest and budget.

From Friday, 14th March, Xbox 360, which includes a 20GB hard drive and one wireless controller, will have an ERP of €269.99/£199.99 - a saving of €80/£50 on the current ERP. The Xbox 360 Elite, which comes with a massive 120GB hard drive enabling consumers to store huge quantities of content downloaded from Xbox LIVE™ Marketplace as well as their own music, will have an ERP of €369.99/£259.99 - a saving of €80/£40. The Xbox 360 Arcade console, perfect for those wishing to make their first foray into the gaming and entertainment world of Xbox, will have an ERP of €199.99/£159.99 - a saving of €80/£20.

Xbox 360 is the number one next-gen console in EMEA, owning 42% of the market in terms of life-to-date revenue. Xbox 360 continues to enjoy the highest software attach rate of any game console in Europe with more than 7.0 games sold per console (PS3: 3.8; Wii 3.5) after 26 months on the market .

The new ERPs are part of Microsoft's ongoing strategy to open up the ultimate in high-definition gaming and entertainment to an even wider audience, with an offering for everyone:

* Best Choice for Families:
o Xbox 360 grows as your family does, offering games and entertainment for every member of the family - from movies to games to music videos.
o With over 150 3+ rated games and unparalleled parental controls, parents can feel good about their kids playing Xbox 360
* Most Diverse Entertainment:
o Xbox 360 offers great choice in high-definition entertainment
o Xbox Live Video Store offers a wide variety of movies to download, both in HD and SD, enabling great entertainment in the living room at the press of a button
o It's easy to view and enjoy video and photos on Xbox 360 as well as connect wirelessly to share content with a Windows Media Center PC
* The Best Games:
o There will be over 1,000 games available on Xbox 360 by the end of the year, with something for every skill level, interest and taste.
o New community games allow gamers to sample the best of indie games, providing innovative new ways to play and enjoy
o Blockbuster franchises like Grand Theft Auto IV, with exclusive downloadable episodes on Xbox LIVE, and Rock Band make Xbox 360 the place to be this Spring
o Xbox 360 exclusives for 2008 include Fable 2, Gears of War 2 and Too Human, setting new standards for next-generation gaming

"Xbox 360 is now mass market in Europe," said Chris Lewis, Vice President, Microsoft Interactive Entertainment Business Europe. "We have reached and surpassed several key milestones that form part of our long term strategic plan to achieve critical mass in Europe; and our portfolio now offers the kind of mainstream entertainment experiences that secure wider appeal for Xbox 360. These factors allow us to execute on our strategy to widen the market for Xbox 360, as planned.

"We continue to offer intense, immersive gaming experiences for gamers - but now we're priced in a way that will allow new consumers to find out for themselves why Xbox 360 is the ultimate in high-definition entertainment." said Lewis. "History shows that €199/£159 is the price point where a console's audience begins to expand, and with these new ERPs in place we're ready to bring more consumers into the Xbox 360 world."

###

We are well aware that the sweet spot of the market is really 199 bucks... (The Wii, at $250, makes a)strong value proposition. When mom walks into the store and sees she can get a console with a game for $250, she sees it as a $300 value. They've done a good job.'

Sony sold 75 million PlayStation 2s at or below that price, but it's unclear if Microsoft can price the Xbox 360 that low when they already lose money on each console that is sold. An analyst predicts that this Christmas, they'll need to have as many consoles out there so that fans can help them cash in by buying games. I don't mind helping them out this year, as long as I don't see another red ring of death from now until Christmas. Kim Phu.

Microsoft Adds Xbox Games, May Cut Price to Woo Moms From Wii [Bloomberg]

So why are weak PS3 sales so bad for the U.S. game publishers? Independently, the implications over the short run are not necessarily significant. However, viewed at a macro level, the share shift currently taking place where the Wii, and even the PS2, are the share takers, our concern is that if software sales also begin to skew along those lines that publishers will be trading higher wholesale revenue (PS3 and Xbox 360) for lower wholesale revenue (Wii and PS2).

Moreover, this is coming at a time when publishers are continuing to increase R&D spending for the more expensive platforms. Lastly, while certain 3rd party publishers like Ubisoft, EA and Activision have shown some success on the Wii, Nintendo remains the dominant publisher on its platform."

I can hear the flurry of commenters typing their, "Kotaku is Sony-bashing again" comments right now. Please remember that these are words coming out of an analyst who is employed by Bank of America. This is a company that will close your bank account, put two cents in it a week later ("M'am, you accrued interest before you closed the account", and then charge you $50 for being under balance for the next six months or until they finally send you a collection's notice. Kim Phu

PS3 Price Cut Too Little Too Late [Business Week via Games Industry]

Could the analysts suggesting a PS3 price drop by the end of '07 been onto something? I had been under the impression that Sony was walking a firm, unwavering line on the PlayStation 3 price point, but Sony Senior Vice President Takao Yuhara seems suggest that stance could very well change. Speaking to reporters at Sony's headquarters in Tokyo, Yuhara suggests the possibility of dropping the system's price.

"We may look at the price as part of our strategy to expand the market when the timing is right," Sony Senior Vice President Takao Yuhara told reporters at the company's Tokyo headquarters.

Wait, that doesn't work. As Brightman suggests, only lowering the cost of production and putting out some amazing software can bring Sony back to the sunny side. Michael Fahey

Sony Open to Considering PS3 Price Cuts [GameDaily]