[nVidiot @ Jul 5th 2007 8:35PM]

Not really. This indicates that Circuit City has a large stock of PS3's and that they are using them to get people in their stores to possibly spend money on games/blu-ray movies, etc., etc.

Sony WILL have significant price drops and they should happen sort-of rapidly at some point but I wouldn't expect them for another year. Cell/Blu-ray tech should allow them some significant room to drop once they are being used more and more outside of the PS3.

And oh yeah.. they need some games out before a price drop will sell PS3's.

[Big @ Jul 5th 2007 10:03PM]

Circuit City CANNOT simply decide to drop the price on PS3's like you think.

First of all, I worked for Circuit City (and Best Buy) years ago when I was in College. Both store make almost NOTHING selling a video game console. They make their money by overcharging you for third party merchandise. They'll sell you a MAd Catz controller for $30 when they bought it for $19.

They never make money on true brands like SONY, APPLE, etc because the retail price is the same store to store.

If Circuit City is having a price break, it means that there has been a signal from the top that the Retail Price has dropped. This is not unforseen as we know Sony dropped the 20GB model a while back and there was speculation the 60 GB would be decreasing sooner or later.

The prblem is that Sony needs as much market penetration as possible and at a $600 price point, they aren't doing as well as they'd hoped. Not to mention the lack of game available.

It was one thing to release PS3 to lines half a mile long waiting outside stores but now that the market has cooled and kids on the street are cursing SONY's name for selling them a system with barely any games to play (now favoring XBOX360) its much harder to move systems off those damned shelves.