http://www.tgdaily.com/content/view/32894/118/

Sony: Price reduction of PS3 in the U.S. only temporary

Los Angeles (CA) – If you plan on purchasing a $500 PS3, get it while it is available.

The recently announced $100 price reduction of the 60 GB PS3 was widely interpreted as a strategic move to bring the price of the game console closer to Xbox 360. It turns out, Sony does not have a long-term price reduction in mind.

In an interview with Gamesindustry.biz, David Reeves, president of Sony Computer Entertainment Europe, said that the price reduction is part of a move to phase out the 60 GB model and transition to a recently announced version with 80 GB storage space. During the Sony keynote at E3 this Wednesday, Phil Harrison, president of Sony Computer Entertainment’s Worldwide Studios, noted that the 80 GB model was introduced to provide more room for downloadable games.

According to Reeves, Sony believes that the 60 GB PS3 will be sold out by the end of this month. Beginning August 1, Sony will only be offering a $599 80 GB model, which however will include the game Motorstorm.

Harrison said there are currently more than 80 game titles in development, which Sony plans to make available for download through the Playstation store. The upcoming titles include Wipeout HD, Echo Chrome, Warhawk and Socom Navy Seals: Confrontation.

The price reduction remains very limited in a geographic perspective. In Europe, for example, Sony holds back the PS3 80 GB and introduced a new game package. For the same 599 Euro (about $825), Sony will be offering a “PS3 Starter Pack” with two wireless Sixaxis controllers as well as the games Resistance Fall of Man and Motorstorm.

Hmmmmmm.....

Why come down in price when your competitor is working so hard to come up to yours? MS has already realeased the elite, which would have been a good deal, but no HD dvd. So you are left with a HDMI port and a color change.

plus a newer processor, and bigger HD

No new processor, bigger HD though.



http://www.engadget.com/2007/04/26/xbox-360-elite-vs-classic-the-test/

hardocp is reporting that they'll have a few month supply of the 60gig versions and they wount replace them when they sell out.

Makes sense. Memory prices have been dropping like mad. They are just clearing out inventory, and putting in a larger, less expensive drive(cost wise to Sony).