I think you kinda have to keep in mind though Apple is likely phasing out the 16GB touch this summer in favor of 32GB and 64GB models.

So yeah it is the same cost of the current 16GB touch, but that's not likely to last.

I think it's a bit overpriced, but if you're going to use it as your primary mp3 player and like to play lots of core games, it's a decent device. No touchscreen in this day and age is pretty dated though.

Didnt SCE make it clear recently that their main target is to become profitable? That's what they are trying to achieve with this move, perhaps.

it will be good if it will be bundled with few games and psn card to spend on some games in psstore. if this is just for the system than it's trully the MEGATONz of sony conference.

What the hell? That's a really high price, but who gives a shit? I'd buy it for 500$. It's just too awesome looking.

Not entirely It's pretty sleek and supports future DRM protected download only content which at this rate is probably still 10 years or so away to be full blown. However, the best thing about PSP Go is they are reducing dev kits by 80% because of it (which means more then likely not, more games to be had for the PSP) and also three new PSP exclusives: Gran Turismo (which we know will finally come out this October 1st side by side with the go), Resident Evil in 2010 and Metal Gear Solid Peace Maker. Probably none of those games (except maybe GT?) would be released with the current trending sales of PSP hardware and software, because Japan can't save the PSP forever in the sales dept.

But yeah, this price is rather steep. Sales will be really interesting.