PSP dropping to $199, new features announced

Sony has announced that it will be dropping the price of its PlayStation Portable handheld console to $199 on March 22. That's $50 cheaper than the current PSP Value Pack, which is retailing for $249. The Value Pack does include a memory stick, soft case, remote, and headphones. Sony only mentioned the $199 PSP shipping with an AC adapter, so it could be further cut down from the Value Pack.

In addition to the price cut, Sony Computer Entertainment CEO Ken Kutaragi announced two new add-ons for the PSP: a PSP-300 digital camera with video voice-over-IP support, which is to launch in September, and a PSP-290 GPS receiver that is to follow in October. Kutaragi also announced that Sony is developing a PlayStation emulator for the PSP, which will allow the handheld to play original PlayStation games. Kutaragi said the games would be distributed digitally to the PSP, possibly meaning an on-line content delivery service. Finally, Kutaragi announced that the PSP will support Macromedia Flash 6 games, and that an RSS feed reader would also be added to the handheld later this year.

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