Firstly, lets all sloooooow down and realise the FACT that No UK price has been given yet.
However, Sony are a compnay that has thrived on repuation and image, and part of offering and perpetuating this image is by charging top-whack for their products as a way of saying "you have to pay for the experience." In response to the posts above, I believe that a reliable product could be made much cheaper.
If Sony truly wanted to be mass market, and compete with DSi and Apple they would drop the price knowing that a higher installed user base that readily buys software for the thing to run will make them more money in the long run. They are giving out mixed messages. The 16GB of memory will cost them naff all to make. The Bluetooth will cost very little. R+D costs might have cost a little bit, but we have to remember that its based on 5 year old PSP 1000 tech and even older PS2 tech,and by now the chips will be so small that they must cost chips to make. It doesnt have touch screen. PSN doesnt have movies or music yet (in UK). It doesnt have the content of apple stores, who it seems they might be trying to compete with.
I reckon a £180 price tag is the most they should go for, given that the original PSP 1000 cost this much I beleive, which was being sold in an economic depression.
In a credit crunch, people will think again about buying such luxury goods, even though Sony may tempt their pyschology with the offer of "luxurious treats to soothe and excite".
Personally I really like the look of PSP Go, its media capabilities and size make it a good contender, and playing GT on it and LBP is gunna be too exciting, but for gods sake SONY, dont go in with a high price point, and if you do, bundle it with PSN vouchers.
Do not repeat previous mistakes SONY, your consumers have been very forgiving in the last 5 years dont you think? In rhetoric, I certainly do, even as a loyal PS fan.