Cliff Harris also preaches against the low price point, and he isn't just doing it from pride, he's run experiments where he's changed price points to see if it makes a difference. And he's yet to see anything to justify the idea that if you cut prices in half you'd receive twice as many sales.
Which I agree with intuitively. Game purchasing tends to be an emotional choice. I am not twice as likely to buy a game I have little interest in in the price halves, I'm still at zero interest. And if I'm really excited about a game and it's priced higher than normal, I might grumble but I'll generally still buy it.
Price will affect purchasing, don't get me wrong. But I think the change doesn't correlate linearly. In fact, for a game $10 or under my choice is more about whether I like the game enough to bother going through checkout process than price.
I'll be interested to see how it works out for them. I think it's a mistake, but I'd love to be proved wrong.