Playstation Now Cheaper Than A Spacestation

Sony is offering US buyers a new and less expensive model of its Playstation3 gaming console, and cutting the price on its existing model, to try to spur sales. The current model, sporting an 80 GB hard drive, will now retail for $500, down from $600. The new model, already available in Europe and Japan, has a 40 GB drive and will sell for $400.

"I think the educational curve is starting to be broached with the general consumer," (SCEA President) Tretton told Reuters in an interview, when asked about his expectations for the PS3 through the end of the year.

Sales of the PS3, which has a built-in Blu-ray drive for playing high-definition DVDs, have lagged those of Microsoft Corp's  Xbox 360, which comes in versions costing from $280 to $450, and Nintendo Co Ltd's Wii, which costs $250.

Sony had previously offered a 20-gigabyte model but stopped making it earlier this year and cut the price to clear out inventory after finding most customers were opting for higher-capacity versions.

Interestingly, the lower priced model is not backwards compatible with existing Playstation2 games. Whether that's to finally wean everybody off the Playstation2 or to get you to buy one of those too is anybody's guess. It shows a strange sort of corporate mind to say that consumers are expected to be taught something to appreciate the unit. Consumers understood it perfectly. It cost too much. Now it's in the ballpark. Sounds more like Sony that's finally up to speed with the "educational curve."