[quote name='mykevermin']That would be $600 to $300, with 3 price drops.[/quote]
well, the 'larger' unit won't be dropping to $300 now, will it? This would be the 'lesser' unit, the one that started at 20 gigs and $500. Dropping it from its current $400 to $300 is a lot more plausible than the 80 gig (originally 60 gig, $600...now 80 gig and $500) dropping 2 bills.
[quote name='mykevermin']I'll spare you the reasoned explanation as to why "trojan horse" is an idiotic term for something that's listed on the

ing box it comes in, and instead ask you to source your claim that retailers pressured them to do something with the PSP.[/quote]
Damn Myke, no need to be so testy. And come now, it's pretty much universally accepted at this point that the only reason Sony went with the Blu Ray player standard in the PS3 was to increase the install base and as a weapon against HD DVD. From their perspective today, it looks like the strategy worked, but it didn't do PS3 sales any favor. They would have had a much greater PS3 install base had they gone without the Blu Ray player since the cost would have been significantly (at least 20%) less.
So they scored Blu Ray users at the cost of PS3 users. Could be the stings of previous format defeats pushed Sony execs a bit too much to ensure Blu Ray would emerge the victor. How much will it help them in the long term, with digital and HD download, etc.? Who knows.
As for the PSP comment, it was widely reported on gaming sites that Best Buy and possibly WalMart, at the very least, put significant pressure on Sony to cut the price since the units were sitting gathering dust. It also had a couple of pretty quick price cuts, so it wouldn't be very surprising. I'm not going to waste my time on some fact finding mission for you, you can go right ahead though and search to your heart's content.
If you don't like it chalk it up to speculation, FUD, whatever you'd like. Though I'm sure you already have.