When you buy a console or any other product on release you do so knowing that there will be a price reduction at some point and that does not bother me at all.
That said why would Sony want to drop the price? MS may have to do that to compete as they have a less power machine which costs more, even if MS dropped to the same price as Sony I can't see a reason for Sony dropping their price as it is still the better console imo.
Just to ensure they stay on top, pricing your competition out of the market would be a smart move.
I know price drops happen but usually consoles have maintained their price pretty well for the first year or two. Normally price drops happen later on as development costs reduce through advances in technology.
I wasn't expecting a price drop so soon and yeah it's all theory atm, but I don't see what else MS can do to push sales apart from buy up lots of exclusive content/games, and surely Sony would have to react to whatever MS does otherwise they let them close the gap?
It makes smart business sense, dropping it by £50 wouldn't hurt Sony as much as it would MS if MS dropped theirs by say £100. It would pretty much keep Sonys position within the market strong, whereas if MS drop their price and Sony don't, yes they are still in a better position as they are offering more power for a similar price but the uneducated masses may opt for a XB1 because they don't have a clue which is the better console.
Price makes a big difference to the uneducated masses who see 2 products which are essentially the same (consoles).
I would honestly be shocked if MS don't drop their price, Sony should follow suit depending on how much MS drop theirs.
Surely MS need to be selling more than they are currently? Letting your rival beat you in sales this badly could make developers opt to not sell exclusive rights to MS, etc as there is less of a user base.