Michael Pachter is claiming that if Microsoft and Sony don't drop the price of the Xbox 360 and PlayStation 3 immediately publishers will threaten to stop supporting the aging consoles this coming holiday.
"I think the publishers are going to threaten the manufacturers, and they’re going to say 'cut the price of the PS3 and the Xbox 360, now,'" said Pachter. "So my bet is: February, price cut happening, because I actually think the publishers are gonna threaten to not support PS3 and 360 this Holiday…Holiday ’14, if they don’t see a price cut quick."
"The good news is: Microsoft can cut to 199 in a heart beat and won’t lose any money… I mean it’ll cost their profit. And Sony can do the same, they both have manufacturing down there, and I mean that’s great for consumers."
"There are still a hundred million Wii owners out there, probably three quarters of whom have never considered owning a PS3 or a Xbox 360. That’s a good opportunity for ten million or more of them to trade up, so that’ll be good."