A few days ago, Sony gave the PlayStation 4 a price cut in Japan — roughly amounting to a $50 price reduction. In an interview with IGN, Xbox boss Phil Spencer spoke about the price cut and was confident that competition is always great for gamers and for the gaming business.

“I fully expect they [PlayStation] will drop price. When I think about the playbook they’ve used in the past, we feel good about the plans we have in place going forward in the holiday. If history tells, then we’ll see a price drop from them coming,” Spencer said in an interview with IGN. “It’s great for gamers when price competition happens. We saw that last holiday, and we saw crazy sales numbers on all of the consoles.”

The Sony PlayStation 4 has once again topped the charts when it comes to console sales in the United States. August is the fourth consecutive month that Sony’s console outsold the Xbox One in the US. In fact, almost all of 2015 has been dominated by Sony, with the month of April being the exception.

But that’s not stopping Microsoft’s confidence with the Xbox One. In an interview with GamesRadar, Microsoft’s Kudo Tsunoda spoke about Xbox One and the coming months, and how he thinks that Microsoft is going to be dominating “the competition” with its new exclusive titles. He states, “I think if you look at our competition there’s no way that people can really stack up with our exclusive content, and that’s an amazing part of what we’re doing at Xbox.”

Sony’s price reduction in Japan and possibly in the US (if Spencer’s prediction comes true) will allow it to achieve price parity with Microsoft’s Xbox One. Do you feel a potential price cut for the PlayStation 4 in the US would be wise move on Sony’s part, or do you feel this is necessary to further encourage competition (ultimately benefiting gamers!)? Is Microsoft being a little too overconfident with their exclusive content coming out this holiday season? Share your thoughts in the comments below.

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