Just a tidbit for a lot of people to keep in mind.
Consoles have sold at a loss historically for a long time. Nintendo only bucked the trend with the Wii.
The PS2 sold in Japan at a loss originally of around $180
The PS3 sold at a loss of $200+ per console initially
The original Xbox sold at a rumored loss of $50-105 per console
The Xbox 360 sold at a loss of around $126 per console, before factoring in the major RROD issue
Microsoft as a gaming hardware developer with the Xbox didn't finally return a profit until 5 years after they started.
This isn't a new trend. Most consoles sell at a loss, not just because of the hardware costs but also the implicit R&D costs than went into developing the console, those costs have to be factored in for the company to truly break even. In the first year or so they manage to refine process and drive costs down and start to recover from those losses, and consequent revisions to the hardware help lower costs further. They always recoup their costs on the sale of accessories and royalties from games. I remember reading somewhere even the Wii U only becomes profitable to Nintendo after two games are purchased with the console.
Also keep in mind the prices we have in mind for components are the consumer prices. The negotiations that go on behind closed doors between AMD, Microsoft, and Sony over component pricing are guaranteed to be substantially lower than what we think of, and possibly very close to cost of manufacturing for the chip maker. The fact is they know they'll receive less of a margin from these prices, but the sheer number of units guaranteed to be ordered in advance for the console launch and subsequent ramp up more than makes up for that in absolute terms. The 7970m may be pricey for us, but for sony it may be half that price, maybe even less I have no idea.
That said, I don't think that pricing will go much beyond the 500 mark (even then I think they should keep it under 400). The fact is when they launched the PS3 at $600 it was seen as ludicrous; yes people bought the console, but the fact was a lot of people were turned off by that price point. Sony can't afford to make that same mistake again now, and I'm fairly confident they're not so stupid as to repeat it. They'll take a loss on the console, as they always have, but will push developers and their in house teams to make some really stand out titles to attract consumers as well as ensure console movement/loss recuperation from royalties.