Honestly people, this is good for the business, and it's especially good for us. If Sony is able to produce a service thats free or cheaper than Xbox Live, that drives down Live prices. It's capitalism in the works here, and your complaining isn't greasing the cogs any.
No, the Xbox 360 is ahead of the PS3 because of games. That is a true story my friend. We'll see how Sony gets rolling with this during TGS, but I'd be kind of surprised if they dropped the price on the ps3 again, for NA at least, but i expect that we'll see a Japanese price cut for sure.
Although what Lightning said does hold relevance, in what do they really have this holiday season? Not much in the way of established AAA titles, that people are guaranteed to want.