Yeah seriously on this point on this thread I got about 4 things to say.

WiiGirl76 - Yeah. It's 100% false. That's why target sells them for 499 now.

 Marc - 2009?  Final Fantasy Versus XIII ,  Mighty Thor, The ,  Omikron KARMA ,  Section 8 Ok, those are the ONLY announced PS3 games for 2009. Those are the only games your intrested in? Nothing in 2007 or 2008?

E3+Sony+PS3 games+PS3 Pricedrop = Sony's E3

Ok, fourth and final. BLAAAR, PS3 SUXX... (goes back to playing SuperStardust HD) 

Wiigirl76 keeps denying the fact that the price drop is occuring, bestbuy has already confirmed it, there upcoming ads state the ps3 being priced at $499.99, and target stores are already selling the ps3 at $499.99. Is there any more proof you need?

@starcraft maniac, if microsoft were to drop the price of the 360 they would lose alot of money, alredy they are loosing over a billion dollars in repairs, and the 360 isnt making them a profit, the only thing replacing there costs is the software sales, I dont even know why micrsoft game division was created if they're basicly not making money from it?

 OMG!!!! For the last time NO ONE could find the 20 gigger cause they didn't make many and they were ALL SOLD!!!!!

What? games do you want? just tell me cuz most of the good ps3 games are coming out this fall.

Sony has to have known that this news would have gotten out before it was going to be announced, lol

 That was what I meant to add as well.

Like, seriously, I almost never saw a 20gb PS3 sit on a shelf for more than 2-3 days. the 60gb units never sold. the 20's sold almost as soon as they hit the shelf... Just one would show up every few weeks tho... 

*shrug*

Circuit City here.

Our Sony Rep on our internal forum denies this as does our corporate PS3 "buyer" via our Senior Video Game Inventory Analyst. From the inside, we're being told that the PS3 is still $599. Just thought I should let you guys know what I've heard so far...

I'll admit, however, that smokescreens are likely with E3 in the midst. This could all be a failed attempt at damage control. Hopefully we will get an official announcement soon since something has obviously been leaked.

I bought the 20GB version, mainly because it was what they had when I called wal mart a week after launch. I am very happy with it, HD upgrades are cheap and easy and wifi isnt an issue for me right now. Its not like the Xbox's useless core system. They should DEFINATELY bring it back at $400, then I think we could see a reasonable sales spike. They would be at same price point as the premium, with same size hard disk BUT with HDMI and Blu-Ray! Those are real selling points!!

So in other words Sony is having the distributor take the fall in loss of face instead of themselves...

I agree that Sony gave up on the 20GB too early and should bring it back.  They were losing even more money on it because Wifi, card readers, and 40GB are not worth $100.

It is much better than the 360 Core because the 20GB PS3 has all the main functionality.  You can get a USB card reader for $10 and 40GB is worth about $10 (unless you are microsoft and charge $180 for 120GB).  You can get 500GB for $100 now.

For those that say the price cut is too early (or maybe it was just one person), I think it's likely they will cut the price again before Christmas.  By doing the cut now, when M$ is paying $1 billion to fix their consoles and likely won't do a price cut too (although it would be smart probably), by the time M$ can afford to do it Sony can counter with another one in time for this holiday season.  I think another price cut will depend on how successful this one is and what the other companies do.

Nintendo could drop the Wii to $200 by this Christmas as well to counter both, but I suppose that will depend on whether they can produce more to actually let everyone buy one that wants it, which is finally happening.