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The system was made specifically with Japan's market in mind. The thing is going to sell like freaking hotcakes across the Pacific.

Even if PSP Go sales only ammount to 33% of all PSP sales, Sony will still be making such a killing that it will completely balance any losses they still are incurring on the PS3 at $399.99.

People are constantly wondering how Sony could possibly issue a $100 price drop for the PS3 this year as their fiscal forcast strongly insinuates and also manage to half their losses. One of the big factors is the PSP Go.