If that's the case, either MS and Sony take MASSIVE loss or hardware is going to be incredibly disappointing this generation.
The Wii U has 2006 PC level hardware at best. If you need to take a loss to sell it at these prices this is going to be really bad (unless the controller is taking the lion's share of the cost).
The Wii U controller does seem to be the bulk of the cost, but Sony were willing to take a massive hit on the PS3 cost at first to make Blu-Ray the standard disc format, so we'll just have to wait and see how much the next generation costs
The Wii U has 2006 PC level hardware at best. If you need to take a loss to sell it at these prices this is going to be really bad (unless the controller is taking the lion's share of the cost).