[quote name='daphatty']Agreed! I felt like someone ripped out my heart when Kaz announced the PS3 prices. I'm probably going to call my local gamestop in the morning and pre-order one anyway, but I'm not all too happy about it.[/quote]
Sony is doing something very similar to what Microsoft did.
They are making their "budget" system so spectacularly shitty that no one will want one and instead will opt to buy the $600 version.
Just imagine what you'll be spending at launch.
- Sony PS3 - $660 (Including tax)
- Extra controller - $40
- A game - $60
- Total - $775 (After taxes)
That is

in' insane!!! Sure, these things will sell moderately well when they launch. Maybe they'll even sell out of their initial shipment, but sales will take a nose dive after the holiday season.
Gamers are very irritated that their games have gone from $50 to $60. How do you think the majority will react to their systems going from around $300 to $600?
Sony is playing a dangerous game by pricing the PS3 so high. I think this will come back to haunt them big time. Expect Sony to slash at least $100 off the PS3 within the first six months.