Well-known Wedbush Morgan analyst has indicated that Sony will reduce the price of the 80GB PS3 to just $499 as soon as all the 'older' 60GB models have been sold out at the respective price. Patcher estimates that there are over 2 million 60GB PS3s which have been produced and not sold and are making their way to the States to cope with demand for the $499 price point.

"In our view, the Sony entry level price of USD 499 is here to stay," he said in his latest report.

"We believe that there are presently 2 – 3 million 60GB PS3s produced and not yet sold, and expect the entire supply to be diverted to the US to honor the new lower price point.

"Once these units are sold through, we expect the company to lower the price of its 80GB model to USD 499 on a standalone basis."