Sony reduced the price of handheld game equipment
Sony Computer Entertainment America on April 3 said it would reduce the price of PlayStation Portable handhelds by about 15% to compete with a similar Nintendo product.
So now Sony products cost about 170 USD.
Capital Markets Edward Williams analyst Sony commented that Sony had to cut PSP prices to restore its position in the market and maintain its competitive position against rival Nintendo.
PSP has emerged and dominated the market for 3 years. But recently Sony products have almost been pushed out by the Nintendo DS.
Williams analysts say that the biggest beneficiaries are game retailers and game developers. The number of games consumed will be proportional to the number of devices sold.
Sony Computer Entertainment America is a subsidiary of Japanese electronics manufacturer Sony Corp.
Sony representatives said the company has not considered cutting PSP prices in the Japanese market.
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