Regarding price drops at E3, here's what I think Microsoft, Nintendo and Sony should do and what I think they will actually do -
1 - Microsoft
I think that Microsoft SHOULD unveil a slim model (without the power brick) and drop the price to $300 for the 500GB slim core console bundle.
In the end, I think that Microsoft ACTUALLY stays with their current console but lowers the price to $300 for the 500GB core console itself with no games included. Microsoft has Forza, Halo 5 and timed-exclusive Rise of the Tomb Raider for the last quarter of 2015. Along with a price drop to $300, this will be Microsoft's best opportunity to catch up overall with a chance to surpass Sony in NA.
2 - Nintendo
I think that Nintendo SHOULD drop the Wii U 32GB deluxe console to $200 with Nintendo Land. Wanting Super Mario 3D World or any other title would cost $60 for a total of $260 which for consumers is still a savings of $40 that could be put towards the Wii U Pro controller or another game. With the Xbox One price drop, staying at $300 would be near the end for Nintendo's Wii U. Also, if Nintendo is waiting until next year's E3 to reveal their next console, better off lowering the price of Wii U now and try to sell as many consoles as possible because once the next console gets released, Wii U will officially be dead.
In the end, I think that Nintendo ACTUALLY stays as is with the Super Mario 3D World bundle being replaced by the Splatoon bundle which is the main reason I don't see a price drop as the bundle comes out before E3 and is set at $300. No way Nintendo is refunding any amount of money. Nintendo is stubborn and will always be stubborn but im hoping that they change their ways when they launch their next console whenever that may be.
3 - Sony
In retrospect to it being the 20th anniversary of Sony announcing a $300 price tag for PlayStation back in 1995 which pretty much killed off Sega's Saturn on the spot, Sony SHOULD announce a price drop to $300 for the 500GB core console. Regardless of Microsoft dropping the Xbox One to $300 or not, I think this announcement would greatly hurt Microsoft and Xbox One. People can talk about this and that for Xbox One but let's be realistic - even when they win a month, it's minimal and that's with the console being $50 cheaper and including Halo: MCC or Unity/Black Flag.
In the end, I think that Sony ACTUALLY stays as is for another year simply because they don't need a price drop whatsoever. Even if Microsoft drops Xbox One to $300, it doesn't matter because at $350 and bundled games, Sony is still dominating overall an while their lead in NA is a small margin, they can hold it for another year simply because all they have to do is withstand Microsoft's last quarter of 2015 which I believe that they will. Even if Microsoft wins October, November and December, it won't make a difference whatsoever unless it's a total and complete demolishment which I don't see happening.
Add in the fact that the PS4 Batman bundle has been selling at $400 (or $450) and will continue to sell throughout June and the summer and like Nintendo, there's no way in hell that Sony is refunding anyone anything. A price drop would cause that to happen or piss of a lot of consumers who have pre-ordered this bundle or will do so by June 23rd.