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Analyst Expects PS3 Price Drop In October

With the possibility of retailers dropping the 20GB PS3 and cries of, "it's still too expensive!" bombarding the Internet, Sony may want to drop the price of their next-gen system. However, with the current costs, they're still losing $241 on every 60GB PS3 sold, and $307 for every 20GB sold. Therefore, cheaper production costs - which Sony is currently pursuing - is the key to a price drop.

But according to one analyst at CNN Money, we might be seeing a price cut at some point in 2007. Goldman Sachs analyst Yuji Fujimora believes the PS3 may experience a $100 drop this October, and he has several reasons for the prediction. One of the big reasons is the cheaper microprocessor chips Sony is working on, and it's quite possible this will enable Sony to drop the price of the PS3 without suffering heavier losses.

Considering October is about the time the PS3 should be hitting full stride with PlayStation Home and some of the most crucial blockbuster games, a price cut for that time might be a darn good idea. We'll keep an eye on things, and see if more experts predict a similar occurrence.

3/20/2007 Ben Dutka

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