Thewill now sell for $80, down from the original $100, Nintendo said in a statement, characterizing the move as an effort to expand its already sizable market.
"This new price point makes Game Boy Advance SP affordable for the vast majority of the mass market," said a statement from George Harrison, senior vice president of marketing for Nintendo of America.
Nintendo has dominated the market for handheld games for more than a decade with various versions of the Game Boy, selling a cumulative 170 million units worldwide.
The company is, however, from a handful of competitors looking to crack the market with advanced technology and multimedia capabilities.
Most significant among them is Sony, which hopes to extend its dominance of console games with, set to make a debut late this year in Japan. The PSP will feature an advanced processor, high-resolution display and a new optical media format the company also expects to use for distributing music and movies.
Cell phone giant Nokia has taken a different tack with its N-Gage device, a combination cell phone and portable gaming deck that made a debut last year. While questionable design decisions and other factors have muted consumer interest in the device, Nokiaand announced Wednesday that it has now shipped a million N-Gage units worldwide.
Nintendo is planning its own response towith the DS, a dual-screen handheld player that will offer multiplayer games and text messaging via a wireless connection. Nintendo has not yet announced a price for the DS, but the company is expected to position it between the Game Boy Advance and Sony's PSP, likely contributing to Wednesday's price cut.