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Most people own consoles for the life of the machine, buying what, 5 or 6+ games a year?, making 25-30 games or more in total. Prices for the games are similar for all systems, so what does your initial saving of £135 get you? Not much - just 3 extra games that you wouldn't have been able to get if you got an XBox on a fixed budget. To me this is totally insignificant, and hence price is simply not a factor in buying a Gamecube.
I'd get one even if it was £300, because I am getting one for certain games that I know won't be on any other systems. Unfortunately, Nintendo know that if they did sell if for more than say £250, it wouldn't do half as well as it will at £165. It's a shame they need to sell it on price and not on the actual hardware and games alone...