iSuppli: PS3 price cut expected this year

Analyst firm iSuppli has stated that the balance of the next-gen console battle has tipped in Sony’s favour, and that the firm is likely to cut the cost of its PS3 this year to make the most of the console’s increasing momentum.

"2008 will be a turning year for the PS3," iSuppli analyst Pamela Tufegdzic told Reuters. "Sony is offering a better forthcoming software pipeline with blockbuster titles like Gran Turismo 5 which will boost PS3 sales this year.

"We anticipate Sony will have another price slash on the PS3 this year, and come Christmas, consumers who originally bought the Wii will likely purchase the PS3. The battle over consoles ultimately boils down to price.”

Tufegdzic added that Sony’s gamble in including a Blu-Ray drive in its console will ultimately pay off, as the machine will also be a hit with technophiles:

"People may buy the PS3 not only for their gaming needs, but for video as well, which gives the PS3 a unique competitive edge over the Wii and Xbox 360 well into the longer term.”