Sony PlayStation Portable now cheaper

Japanese gaming console maker Sony has announced a price reduction in their sole handheld gaming device Sony Playstation Portable.

The company said that they are cutting the price of this device by 15 percent, or $30, to about $170. The company faces massive competition from rivals Nintendo which dominates the segment with their Nintendo DS device.

BMO Capital Markets analyst Edward Williams spoke on this price reduction from Sony: “The PSP needed a price cut to reinvigorate the market. Wal-Mart sold the PSP for $169 for five hours on Black Friday — a time in which we believe the company was able to sell over 100,000 pieces of hardware.”

Market analysts believe that this price reduction would benefit major retailers like GameStop and the gaming companies which develop games for the Sony PSP.

The price cut is applicable only in the US market as the company currently has no plans to cut the PSP price tag in Japan.