Sony announces PS3 price cut

An internet blogger attending the Sony Computer Entertainment Staff Annual Briefing has revealed to one online publication that the PS3 may well be finally getting cut in March 09.
SCEE President, David Reeves, reportedly took to the stage and announced that “SCEE will be getting more competitive in price from March 2009 onwards”. Having refused to cut prices in the run up to Xmas, the PS3 is overdue for a discount, especially when compared to the XBox or Wii.

Sony is also expected to devote further resources to revistalising the flagging PSP, which has suffered against the Nintendo DS.
Sony itself has denied all of the report, stating "We do not have anything to announce at present and we do not comment on rumour and speculation." However, all of the points raised are pretty believable; the sequels and portable versions are an obvious choice and some, like LBP PSP, have been heavily rumoured already.
Updated June 26 2009: Despite the rumours, the price cut failed to materialize. However earlier this month Sony came under increasing pressure to cut PS3 prices, when leading developer Activision stated that it was evaluating its continued commitment to the platform in the light of high development costs and low sales. Sony is not expected to cut the price of existing PS3 units, until the official announcement of the new PS3 slim. Both the XBox360 and Nintendo Wii have initiated a series of price cuts. The Nintendo Wii is currently the market leading, with the Microsoft XBox a distant second, and PS3 trailing both.
Updated 18 September 2009: Sony have released a new version of the PS3, the aptly named PS3 slim. The "Slim" retails for £249.99 and is believed to be significantly more energy efficient, as well as having a larger hard drive. No further price cuts are expected until after the christmas season.