I would call it a newer lower priced model. When the 80g goes to $500, that is a price drop.
Its like when Ford brought out the escape. Was that a price drop in the Explorer? They are both Fords and SUV's? Nope it was a smaller cheaper model with different features. Same thing here. 40g has no BC and other missing features beyond the simple smaller hard drive.
Now, will this spur sales for PS3? Yes, absolutely. There are plenty of people out there willing to spend $400 vs. $600 for a PS3 and could care less about PS2 playback.







