Adjust for inflation over a decade ago and everyone agrees that both the X360 and the Wii are at mass market price points. And saying that the X360's sku at 199 does not count is quite opposite from what everyone is trumpeting all over, that its 199, regardless of its shortcomings or whatever.:lol People cant argue that the X360 is 199 vs PS3 and Wii and thats amazing, but yet say, its not really 199, when it comes to sales numbers.
After all games are 60 and we are not saying well, they sold better when they were 50, or 100 in the old days...
The point is that after a certain amount of time, the peak is hit, regardless of price. Even the PS2 started plateauing after year 3, and it kept dropping in price and getting AAA titles. Saturation has a lot to do with it.
I think X360 will see its peak this year or spring, and will stagnate or decrease from then on. Not because its too expensive, or lacks games, but simply due to saturation of the market. Nothing against it, but thats the logical trend.