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The drop in the price point of the K2 seems to me to be a signal that Amazon has no immediate plans to compete with Sony on either size (300) or touchscreen (600.) Instead, they are going to compete on price & wireless.
First, they start out by positioning the K2 (1) against the 300 on the basis that for a mere 50 bucks more, you get a bigger screen plus wireless and (2) against the 600 on the basis that it's 50 bucks less and sure, you lose touch but you gain wireless.
Then, they will do a similar play on the price on the KDX around the time the DE is brought on market.
It seems to me that this leaves Sony with no option but to lower its prices on the 300 & 600 and meet the price of the KDX on the DE.
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