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PSP Go's price drops to $199

Sony's gaming handheld, which has been trying hard to keep up with the Nintendo DS, gets a $50 price cut.

PSP Go Sony

Sony has dropped the price of its PSP Go gaming handheld from $249 to $199.

Sony's price cut is a shot over Nintendo's bow. With the price cut, Sony's handheld is now just $30 more than Nintendo's DSi XL, $50 more than the DSi, and $70 more than the DSi Lite.

Sony's PSP Go page still displays a $249.99 suggested price. But six of the seven retailers than Sony's site links to are selling it for $199. The seventh site,, lists it for $208.

The PSP Go is somewhat unique in the handheld gaming arena. The device features no disc drive. Instead, gamers download the titles they wish to play. Those who want to buy Sony's universal media discs and pop them into a PSP are required to buy the PSP 3000, which sells for $169.99.

Sony's decision to cut the price of the PSP Go is likely due to its slow sales. In August--the last month in which market researcher NPD reported hardware unit sales--Sony sold just 79,400 PSP units. In August 2009, by contrast, the company sold 140,300 PSP units.

Meanwhile, Nintendo's DS platform is still going strong. In August, the company sold more than 342,000 handhelds.

(Via Reuters)