Foster City (CA) - As the first official price cut for Sony's handheld device, the core PSP package has been slashed by $30 to an MSRP of $169.99.
The $250 PSP Value Pack celebrated its two year anniversary last month. A $200 core pack was introduced during the 2005 holiday season, and today's price cut, effective immediately, is the first PSP price reduction from Sony. The value pack is being phased out.
The Nintendo DS saw a price cut earlier in its life cycle, dropping from $150 to $130 after about 9 months.
However, the PSP has failed to be the Nintendo killer Sony hoped it would be. While about 25 million PSPs have been shipped, Nintendo DS shipments have totaled more than 35 million. According to Sony, about 90 million PSP games have shipped, while the DS has already passed the 100 million mark.
Sony also said it is continuing to support its flagging UMD video format, with plans to continue to release Sony Pictures movies on the PSP-exclusive medium. Many retailers have already stopped selling UMD videos.