Last week, the Mainichi Daily News quoted Sony officials as saying the price for the Playstation 3 would be at around 50,000 Yen ($465), but Japanese Web site Impress PC Watch reported that Sony has told its business partners that it will be under 40,000 Yen ($370). This has lead to rumors and speculation that the Playstation 3 will have the same launch price as the Playstation and Playstation 2 of 39,800 Yen ($368).

The Playstation 3 will be in direct competition with Microsoft’s XBox 360, and Nintendo’s Revolution next year. The XBox was originally priced at 34,800 Yen ($322) when it launched in Japan in 2002; but, has been constantly cutting the price, and is down to 17,640 Yen ($163).

Nintendo, on the other hand, has never had a console priced more than 25,000 Yen ($231), which the GameCube sported in 2001 (the lowest of the three current-generation systems). The GameCube is also the lowest priced system at 14,000 Yen ($130). Nintendo president Satoru Iwata, at E3, stated that Nintendo would “keep the Revolution at a price range that anyone can reach out for, and nothing as high as 50,000 yen ($463).”