Sorry headshot91, there's no way DSi will go down as far as £99. They're still selling the Lite for that much in the UK, and have been since it came out. If we're lucky it'll go down to £130ish-which is still a little more than I paid at launch. I had a friend at Toys R Us use their staff discount, and I got mine for £125. As far as I know, most UK retailers are selling DSi for £130-£140 now anyways, so a cut to £130 isn't out of the question. It might come along side new colours and bundles.
Does anyone else think this is more aimed at under cutting the 8GB iTouch? Nintendo said in their last fiscal statement that Apple was becoming strong competition-there was no mention of Sony. Somehow I doubt Nintendo will be concerned by a £230/$250 PSP Go.