Okay it won't be "599 US DOLLARS" but with the tech in that thing, it will be pretty expensive.

On topic, I think Sony may offer up some rebate incentives if the price is higher than $350

When they release the NGP, i hope downlooadable psp games become super cheap.

You forgot the battery.

Also, retailers take about 50% of the price that they sell? I thought it was like 5-15%.

Videogame manufacturers should boycott those stores.

Like I said in my reply I am not a hardware expert. I have no idea what specific components cost. I was making a guess and I'm sure the hardware will still cost more then 300$ as high as five hundred. But again that is a guess I never claimed that I knew much about hardware costs.

if sony is serious about gaining some marketshare and competing with nintendo then the psp2 should not be priced more than $350. $300 is the ideal price for wifi only version. At the store poeple might be willing to get a psp2 over the 3ds if they think that its only $50 more and it can do a lot more

This is an interesting idea, but given the substantial losses they took with the PS3 over the first few years, how hard of a sell is it going to be to Sony's board, to take more losses on the NGP though?

The flip side: they over-powered the PS3 and demanded a premium for it, that didn't work too well for them till they were able to lower the price though, so will they do that with the NGP?  Demand a high-price, forsaking market-share for less loss?

I'll be honest, I'm NOT a huge hand-held gamer, so this decision doesn't really affect me all that much, however watching it play out will be interesting.  Particularly as I think it it might be telling of how Sony will approach the next-gen of home consoles (whenever that may be).

Do you guys really think it will cost $500 for sony to make 1 PSP2.  No way i dont think so.  This might not be a good comparison but the Ipad only cost $260 to make.  The Samsung Galaxy Tab is even cheaper at $205.  These estimates were made by isuppli.  These are fairly new products on the market.  The components the psp2 will have closely looks like what is in the Ipad2 with the exception of the Oled screen, processor, and gpu.  The Ipad 2 is rumor to have a dual version of the cpu and gpu that will be in the PSP2.  Apple is very good at keeping production cost about the same from previous generation models.  If the only major difference in terms of specs between the Ipad 2 and PSP2 is the Oled screen, processor, and gpu i dont see why Sony couldn't manufacture it between $300-400.    I am almost certain the PSP2 will sell for $300 or lower if possible.  

Sony no.

but some phone providers offer Xboxes already with the phone so you might get a similar deal. (dunno what the catch is though).

Also it'd be more as the Ipad deal than Iphone... cause it's basically more a tablet than a phone.... since it doesn't phone...

cost of sales can include other things too

http://www.merinews.com/article/apple-iphone-4-manufacturing-cost-187-reports-isuupli/15825378.shtml

almost all smartphones are around the same price

i know they seem very costly and premium but they aren't

all psp games are to become $10 or less in the playstation suite