It's funny how eveyrone talks crap about the PS3's price and how Sony is going down because of it. I thinkt he majority of people forget the PS1 debuted from a new contender at the hefty price of $360 (roughly) and that was around 10 years ago. Then the PS2 came selling at $499.99. Now people are all like "zomg 599? too much money!"
I think all this anti-ps3 hype is all b.s. and sony is still gonna take a huge following. If anything hurts sony, it is giant crabs in japanese history and not the price of their console.
In terms of microsoft...I see them dying out like sega did. They continue to release their "exclusive games" on the PC and don't have any major titles for their system. As long as Sony has the backing of Capcom, Konami, and SquarEnix...nintendo and microsoft will have to fear them.