The price reduction follows poor sales of the console in Europe and Japan where it has sold only 190,000 units – 60,000 short of the 250,000 machines that were available there at launch.
Meanwhile Sony is in the process of developing a new, more cost-efficient processor for PS2 that will combine both the Emotion Engine and Graphic Synthesizer into a single 0.13 micron chip. This should it allow it to produce cheaper PS2s and pass the cost reduction to the consumer.
