Sony Slashes PS2 Price

Sony is hoping that cutting the price of a Playstation 2 will help turn around sluggish sales of other Sony products.
Playstation 2 will now retail for $199, matching the price of Nintendo’s Gamecube and undercutting Microsoft’s Xbox by $100. The company also suggested that pricing would now be more open, creating the possibility of discounts at some retailers. While Microsoft has already adjusted Xbox pricing in Europe, the company currently has no plans to do so in North America. Nintendo also plans to hold its price. Coupled with the new pricing, Sony announced the creation of a new company called the Network Application and Content Service Sector. The new division will bridge Sony’s games, electronics, and entertainment businesses to seek out ways to bolster sales of the company’s electronics by connecting them to game and entertainment properties. Sony will take a first step towards this goal when it starts offering online games and other downloads to Japanese costumers later this year. No date has been set for offering similar services in the United States or Europe.

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