New PS3 price cut expected this year

Research company iSuppli has stated its belief that Sony will push through another price cut for the PlayStation 3 at some point during this year, leading up to a big Christmas for the console.

Analyst Pamela Tufegdzic told Reuters: "We anticipate Sony will have another price slash on the PS3 this year, and come Christmas, consumers who originally bought the Wii will likely purchase the PS3."

Following on from predictions last month around a strong performance for the console this year Tufegdzic reiterated that "2008 will be a turning year for the PS3 - Sony is offering a better forthcoming software pipeline with blockbuster titles like Gran Turismo 5, which will boost PS3 sales this year."

Currently Sony loses money on each console sold due to high manufacturing costs, although that's not an unusual move by hardware companies in order to get as high an installed base as possible and sell more software.

However, Sony has stated that it expects manufacturing costs to fall below sales prices this year, a move which might prompt the company to ponder a price point change.