Sony confirmed a price drop for the end of this year. How much? No clue. Microsoft says they'll price drop later this year. They boasted $200 would be the ideal price range. Can they do that? No clue.
By X-mas 2007 you'll see the begining of hopefully more reasonable prices not only on consoles, but on games. I still think 2008 will be the deciding year. Games like MGS4, FF13, Spore, Star Craft 2 and scores more are all slated for 2008. It should be a epic year.