PS3 finally realistically priced.

From Yahoo! Tech:

After months of rumors and anticipation, Sony Corp. is slashing the price of the PlayStation 3 by $100 in hopes of boosting sales of the console ahead of the important holiday season.

Sony Corp. said Tuesday it will cut the price of the currently available 80 gigabyte PlayStation 3 effective immediately, to $299. It is also launching a slimmer, lighter model with a 120 GB hard drive in early September; that version will also cost $299.

Sony also cut the price of its existing 160 GB PlayStation 3 by $100, to $399. All price cuts apply worldwide.

Sales of the PlayStation 3, which launched in 2006 and cost as much as $600 at the time, have fallen behind rival consoles. Last week, market researcher NPD Group said U.S. retail stores sold about 122,000 units of the console in July, compared with nearly 203,000 for Microsoft Corp.'s Xbox 360 and more than 252,000 for the Nintendo Co.'s Wii.

Video game software makers hope Sony's price cut will boost game sales ahead of the holidays. So far this year, the industry has suffered from weak sales because of the recession and lackluster game release schedules, which have kept consumers waiting to spend money on new titles.