Here's the question and answer:
EGM: We just have a guess at the moment, various analysts' guesses and so forth. We're assuming that PS3 will be 300 to 400 dollars. Consistently, you guys have come in at a lower price point.
RFA: The difficulty in that question is, first you need to put a stake in the ground as to what the competitors are going to do. If you purely look at the specifications, you have to peg both systems at more than 300 bucks. Minimum. And Sony's system probably more up to 400 bucks. Now that assumes that they approach the business rationally and at least look to break even on hardware. Which isn't necessarily a good assumption, but you would assume that.
Again, Nintendo's taking the approach of, first, a gaming-centric console system yet we will have the capability because of that speed card and other types of memory to have movies and other types of content, but that's not the overall objective. We are center of the plate gaming. I have to assume that from a pricing standpoint, we will be substantially lower than the competition, because we don't have all of that added fluff that a gamer, frankly, doesn't—it's not core to gaming. Now, we'll see what happens when their pricing is announced and when ours is, but just as a rational businessperson, it leads you down that path.
The way I see it he's talking specifically about "what the competitors are going to do"...as he states in the sentence before he says "you have to peg both systems at more than 300 bucks". There are a few other things in there to consider but I think what I've said and the fact that it's know that the console will be less expensive then the competition is proof enough for me. My guess is Nintendo is shooting for a 250 max pricepoint and, of coarse, that is without a loss as always.