Pachter states that "the Sony entry level price of $499 is here to stay" and that "there are presently 2 – 3 million 60Gb PS3s produced and not yet sold." This number constitutes up 75% of PS3s in the hands of consumers right now, so the idea of that many selling out before the end of the month, as Reeves suggested, is ridiculous. Pachter's reasoning for why he expects the 80GB model to drop in price is similar to most people's. The 80GB PS3 should cost Sony as much, if not less, to produce than the 60GB model thanks to removal of the Emotion Engine (which, at this point, is the PS3's equivalent of the appendix). Not to mention that Motorstorm is included in the 80GB box, so removing the game will allow the bundle to drop in price by at least $50.
Pachter ends his report by saying that he expects "the $499 price point to be maintained until early next year, when the 80Gb model will likely be cut again to $399." We're not so sure about this ourselves, but we'd definitely like to see it happen.