According to Jesse Divnich, an analyst at EEDAR, Sony does not need to cut the price of the PlayStation 3. It was found out today that GameStop cut the price of the 160GB PlayStation 3 model to $199. It was made clear by a Sony spokesperson that it is temporary and that it was GameStop not Sony who cut the price.
"I don't believe the PlayStation 3 needs a price drop at the moment," said Divnich to Games Industry. "Sales have been consistent and in-line to what one would expect for a platform that continues to successfully grow its install base so late in a console cycle."
Divnich was asked if the GameStop was any indication to a price cut at all retailers. "There could be many elements at play, but I highly doubt this is any indication of weakness for the PlayStation 3."
The key phrase is "at the moment" which refers to the immediate future. It is likely that Microsoft will cut the price of the Xbox 360 at some point in 2012, because the base price has remained at $199 since 2008 and with the launch of the Wii U this holiday season. Sony will also likely match any price cut made my Microsoft as to not fall behind in sales.
Another reason for Sony not to cut the price of the PlayStation 3, that Divnich did not mention, is that it has been the best selling home consoles in 2012 according to VGChartz. It has sold 3.1 million units as of the week ending April 14. This compares to 2.3 million Xbox 360's and 1.5 million Wii's sold during the same time span.