Digital Home Thoughts: Sony Drops Price of PS3... in Japan Only

"Sony Corp (NYSE:SNE - news). said Friday it will slash the price of its much-anticipated PlayStation 3 video game console in Japan by 20 percent, heating up the competition in the next-generation gaming war against rivals Microsoft and Nintendo. The announcement comes just days after Microsoft Corp. announced that it would roll out an external high definition DVD player for its Xbox 360 in an effort to match the PlayStation 3, due to be released in November with its own Blu-ray DVD technology. Sony Computer Entertainment President Ken Kutaragi, speaking at the Tokyo Game Show in Makuhari, just east of Tokyo, said the move was in response to consumer complaints the upcoming console was too pricey. Sony will cut the domestic price of its basic PlayStation 3 model to 47,600 yen, or about $410, from an originally planned 59,800 yen, or $515. That puts the PlayStation 3 in the same range as the combined basic Xbox 360 and HD DVD player in Japan, where the duo will sell for 49,600 yen, or $427. There are no plans to lower prices in the U.S. or other markets, Sony spokeswoman Nanako Kato said. In Japan, the game will hit stores on Nov. 11."

Well, apparently Sony's feeling the heat now. I expected them to drop their price as we come closer to release date (at least temporarily for the holidays), but with no price drop in the announced anywhere else but Japan yet, they may find themselves with a less-than-stellar marketshare come January 1st. What do you think? Should we still expect a price drop in the US? Will this affect your PS3 purchasing plans? Personally, if I were in the market for a PS3 (I'm not), after hearing price drops in Japan, I would probably wait for a similar announcement for the US before I decided to buy one. You?