As much as I suspect people will want to buy a PS3 given it's technical power, I doubt people would be willing to spend 500 bucks on a console. And by what Kutaragi's saying, it may well be over the $500 mark.

This will mean the XBOX 360 will take over and the Revolution will do better than initially expected.

I spent more than that on a DVD player. I spent more than that on an amplifier. I spent more than thart on my original PlayStation. Why wouldn't I spend that on a device that is far more impressive than any of the aforementioned.

What happened, did all you pinkos become allergic to rampant consumerism?

He could be trying to throw a curve ball for MS. Get MS expecting PS3 to be expensive, and thinking "woot! we can up the ticket price on 360 and cut the loss per box"

Unlikely, though.

An very expensive PS3 is a hopeless PS3. Sony could always slash the price after six weeks. After all, it's no unprecendented. Just shove a controller and a game the way of the early adopters :)

Sega Saturn was released at £400, and PS1 £300. Possible omen?

Say this was also the case for XB360 and PS3 respectively. And also say there's a 3-6 month gap between releases. M$ could be cunning-lingus' and cut another £50-£100, a couple of days before PS3 release. That difference may be too much for your average chav, esp if the 3rd-party support offers them FIFA 2006/ US Army: Nazi killers/ NFS: Pimp my Nova.

That's what it'd take to make me buy an Xbox 2Pi*

*I still work in radians.