Report: Sony Plotting Cheaper, 40GB PS3

With a price cut for the PlayStation 3 already announced for Europe and the Middle East, Sony is reportedly about to do the same in North America. According to a report Monday in the Hollywood Reporter, citing industry sources, Sony will introduce a 40GB PS3, priced at $399, in early November. The new player will be sold alongside the 60GB and 80GB versions, priced at $399 and $599, respectively.

The new version, according to the report, will still include a Blu-ray Disc player, but will carry two USB 2.0 ports rather than four, and will not offer backward compatibility for PlayStation 2 games.

Sony announced in July that it was cutting the price of the 60GB PS3 by $100, to $499, while also introducing an 80GB, $599 version. But just days later, the company said it was phasing out new production of the 60GB version, and instead making the 80GB PS3 the primary product.