Sony to cut price of 80GB PS3 to $499, says Pachter

Industry analyst Michael Pachter expects the 80GB PlayStation 3 to drop in price to USD 499 once all stock of the 60GB model has sold out.

The 80GB model currently retails in North America for USD 599 with a copy of Evolution Studio's Motorstorm, but Pachter believes the newly introduced unit will drop in price for the standalone console.

"In our view, the Sony entry level price of USD 499 is here to stay," he said.

"We believe that there are presently 2 — 3 million 60GB PS3s produced and not yet sold, and expect the entire supply to be diverted to the US to honour the new lower price point.

"Once these units are sold through, we expect the company to lower the price of its 80GB model to USD 499 on a standalone basis."

Sony Europe boss David Reeves revealed last week the 60GB PS3 would be phased out in the US, leaving the 80GB SKU as the only option to consumers.

The analyst also predicted that Sony will again cut the price of the 80GB PS3 in early 2008.

"We expect the USD 499 price cut to be maintained until early next year, when the 80GB model will likely be cut again to USD 399," he said.