324w ago - A new report confirms earlier rumors that Sony will announce a $399 40GB PS3 as early as this week. According to Sky News, a manufacturing source has revealed that Taiwanese FoxConn (which also produces PS2s) will make the rumored $399 PS3. An announcement could come sometime this week in an effort to "spoil" the high profile launch of Halo 3 for Xbox 360 says Sky.
Previous reports speculated that Sony would drop the price of the 80GB PS3 to match the current price ($499) of the now discontinued 60GB PS3. In order to offer a $399 PS3, Sky News reports that Sony will either remove the console's USB ports or backwards compatibility.
Sony denied comment on the report when contacted by GamePro.
Stay tuned for more PS3 Hacks and PS3 CFW news, follow us on Twitter and be sure to drop by the PS3 Hacks and PS3 Custom Firmware Forums for the latest PlayStation 3 scene updates and homebrew releases!