BestBuy in Chicago - No PS4's, but stacks of XBO's.
Honestly, I think it needs more than a price drop to stay competitive. TitanFall looks great to the casual consumer, but when they realize it'll cost them $500, they get cold feet.
Problem is, I can't think of any retail XBO exclusive games coming out between now and holiday period / post-E3. Am I mistaken?
And Halo 5 will be 2015, which begs the question - what will people want to drop $500 on this year? Not a lot.
PS4 is in a similar situation, but riding off great social media chatter / word of mouth and a lower price point. It has a weak stream of exclusives, but stronger than XBO. Second Son this week, with a superior version of MGS. Then FFXIV, DW8, MLB2014 (the only baseball game this year exclusive to PlayStation platforms.)
But then there are heavily marketed multiplatform titles in favor of PS4, like Watch Dogs and Destiny. And forget marketing for a moment. In all likelihood, PS4 multiplatforms will run better. Reviewers mention things like that and forums go crazy about it. That will lead to stronger software sales on PS4, too.
Going to be a rough year for XBO. Give it time, a price drop, and a hard-hitting exclusive like Halo 5 or Gears, and they'll be fine.