Well I was just checking out Famitsu's website and I saw this:(note: the link is entirely in Japanese, but you can still see the prices, etc.)

http://www.famitsu.com/news/201010/25035082.html

They say that Sony will be cutting the PSP Go price from it's current 26,800 yen price tag down to 16,800 starting from Oct. 26th. 16,800 yen is the same price as the PSP 3000.

Using current exchange rates (compared to the US$) that's a change from $332 down to $208 (a $124 price drop).

edit: just saw this on Kotaku:

http://kotaku.com/5672383/pspgos-price-is-slashed-in-us-and-japan

Western retailers have already been knocking $50 off the PSPgo's $249 price tag. Today, Sony made the price-cut official in the U.S. official. The cut for Japan, however, is twice as big.

According to Reuters, the PSPgo will be priced at $199 in the US instead of the previous $249 list price.

After less than a year on the market in Japan, the digital-download-only PSPgo will get a whopping ¥10,000 (US$124) price cut.

Starting on October 26, the PSPgo will retail for ¥16,800 ($208), instead of the ¥26,800 ($332) Sony now charges.

PSP2 is on the way.

getting rid of the gos

i'd doubt we'll see the numbers we're seeing with the PSP 3000 in Japan but it'll sell more than the X360 each week from now on.

it will for sure sell more than 2-3k than what the 360 is preforming there. 

That's what I said...

As in it'll outsell the X360 each week from now on.

Time to move that first shipment out I guess. ;)

They're some huge cuts. The only possible conclusion is clearance for a new model/PSP2

PSP4000?   I'd be surprised with the MH-tweaked PSP3000 coming in December, but I guess it's possible...

Wow that's a big drop, holy crap.

It also helps that they can now still make a profit in both the US and Japan with that price cut. I wonder if w e still get the 3 game bundle as well.