Sony Corp said it would cut the price of its PlayStation 3 game console by 10 percent in Japan and launch a new model, in a bid to ignite demand in the run-up to the critical year-end shopping season.
The move follows a similar announcement from Sony on its European game operations last week as the Tokyo-based electronics and entertainment conglomerate plays catchup with Nintendo Co Ltd’s hot-selling Wii.
The PS3 has lagged the Wii in sales since the devices were launched late last year due to the Sony machine’s high price and scarcity of strong game titles.
Following the late afternoon announcement, shares in Nintendo lost gains and closed lower.
Sony said on Tuesday it would lower the price of the PS3 with a 20 gigabyte (GB) hard disk drive to 44,980 yen ($384) from 49,980 yen on October 17.
It will also start selling its 60 GB model at 54,980 yen. Sony has not so far suggested a price for the 60 GB model, but it currently retails for around 60,000 yen.